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Orissa is a littoral state of India with a long coastline and a storehouse of mineral wealth. Because of its mineral wealth and strategic location it attracts foreign investment in steel, aluminum, power, refineries, and infrastructure. Many foreign steel companies, like Arcelor Mittal and POSCO have invested money to make steel plants in the state. Orissa is also emerging as a player in the outsourcing IT (Information Technology) and IT services industry. The total planned investment in the state is projected to be 90 billion U.S. dollars. However, there are environmental concerns and land acquisitions for some of these projects have been opposed by the local people.

In ancient times the region of Orissa was the center of the Kalinga kingdom, although it was temporarily conquered (c.250 B.C.) by Asoka and held for almost a century by the Mauryas. With the gradual decline of Kalinga, several Hindu dynasties arose and built temples at Bhubaneswar, Puri, and Konarak. After long resistance to the Muslims, the region was overcome (1568) by Afghan invaders and passed to the Mughal empire.

After the fall of the Mughals, Orissa was divided between the Nawabs of Bengal and the Marathas. In 1803 it was conquered by the British. The coastal section, which was made (1912) part of Bihar and Orissa Province, became in 1936 the separate province of Orissa. In 1948 and 1949 the area of Orissa was almost doubled and the population was increased by a third with the addition of 24 former princely states. In 1950, Orissa became a constituent state of India. It is governed by a chief minister and cabinet responsible to an elected unicameral legislature and by a governor appointed by the president of India.