Indian experience is becoming relatively surplus of men in the pre-marital age cohort. The existing literature focuses only on its negative aspects. The provide evidence that imbalance in sex ratio may stimulate economic growth by inducing private sector development. First, growth of private firm, an important engine of economic growth, are likely to emerged where sex ratio imbalances is high. We find that an increase in the sex ratio by 5 basis points, holding other variable constant, would raise the economic growth rate by 6.10 percentage points per annum. Second, household with a female head had more own account of firm and female household industry