It is a well-known fact that there is an urgent need to re-energies Uttar Pradesh's economy, including both agricultural and the non-farm sector. A number of recent initiatives undertaken intend to augment the capital formation, which could contribute positively in this regard. Capital formation is also likely to contribute in improving the poverty scenario. Looking at the village-level scenario for the districts, the current analysis attempts to create the importance of capital formation enjoyed by them, which in essence reflects their future growth potential. The paper concludes by acknowledging the potential role of capital formation in this regard.