The economy of Phek is fundamentally agrarian, though the town itself functions as a service and administrative center. Because Phek is a district headquarters, government employment is a primary economic driver, with salaries of civil servants, teachers, and police fueling local retail and commerce.
_Data not readily available for this location regarding exact GDP or median income._
Outside of government services, the local economy relies heavily on the trade of agricultural produce, forest products, and handloom textiles. Cost of living is generally moderate compared to major Indian metros, though the remote location means that imported manufactured goods and fuels can carry a premium due to transportation costs. Future economic development is heavily focused on eco-tourism, agro-based industries, and improving cross-border trade infrastructure.

