Major General Candeth took charge after Goa's liberation as military governor. Goa's first lieutenant Governor was appointed on June 8, 1962 by the Central Government and the administration was transferred to civilian hands.

General elections were held in December 1962 in which the Maharashtravadi Gomantak Party (MGP) emerged as the winner. With Dayanand Bandodkar as the first chief minister on December 20, 1962 the first popular elected government was sworn in.

Soon after due to close linguistic and cultural ties with the neighboring state of Maharashtra an agitation was launched by some people to merge Goa with it. In January 1967 in an opinion held the Goans opted for Union Territory status (direct rule of the federal government) rather than merger. Goa was declared as India's 25th state by Prime Minister Rajiv Gandhi on May 30, 1987.