Measuring the level of economic development in the cities of Khuzestan Province is an important scientific endeavor with profound implications for regional policies, resource allocation, and the overall welfare of its residents. Khuzestan Province, due to its cultural heritage, economic significance, and environmental diversity, holds great importance. Therefore, a comprehensive assessment of the economic development of the cities in this province is essential for various stakeholders, including policymakers, researchers, and local communities. Considering the mentioned points, this research attempts to answer the question of how to measure the level of development of the cities in Khuzestan Province and their comparative analysis in two time periods, 2017 and 2020, using factor analysis method based on urban economy components. For this purpose, using agricultural indicators, housing and welfare services indicators, industrial indicators, education indicators, health and treatment indicators, macroeconomic indicators, infrastructural and physical indicators, and urban economy indicators, a total of 65 indicators were evaluated to assess the development level of the cities in Khuzestan Province. The research results showed that the cities of Ahvaz, Dezful, and Abadan experienced a significant decrease in their composite index, indicating improved development conditions in these cities. Additionally, many cities like Andika, Hendijan, Shadegan, and Bavi experienced a significant increase in their composite index, which requires more attention to the development indicators in these areas.