In February 2025, Uttarakhand Finance Minister(FM) Premchand Aggrawal presented a comprehensive Rs.1,01,175.33 crore Budget for the Financial Year 2025-26(FY26) in the state assembly with a special focus on development across key sectors such as innovation, agriculture, industry, infrastructure, connectivity, tourism, and social welfare.
- The budget is based on the ‘GYAN’ model [Gareeb (poor), Yuva (youth), Annadata (farmers), and Naari (women)], which focuses on the poor, youth, farmers, and women.
- It has allocated Rs.59,954.65 crore for revenue expenditure and Rs.41,220.68 crore for capital expenditure, marking a 13% increase from last year’s Rs.89,000 crore budget.
Financial Indicators:
i.The total receipts in 2025-26 are estimated to be around Rs 1,01,034.75 crore, which includes Rs 62,540.54 crore of revenue receipts and Rs 38,494.21 crore of capital receipts.
ii.The tax revenue in revenue receipts is estimated to be Rs 39,917.74 crore, which includes the state share of Rs 15,902.92 crore in central taxes while non-tax revenue is expected to yield Rs 22,622.80 crore.
- Moreover, the total estimated revenue receipts from the state’s own sources are Rs 28,410.30 crore, out of which tax revenue is Rs 24,014.82 crore and non-tax revenue is Rs 4,395.48 crore.
iii.An estimated amount of Rs 26,005.66 crore will be incurred on repayment of loans, Rs 6,990.14 crore as payment of interest, approximately Rs 18,197.10 crore on salary allowances of state employees and Rs 9,917.40 crore as pension and other retirement benefits.
iv.According to the budget, there will be no revenue deficit for the year 2025-26, but a revenue surplus of Rs 2,585.89 crore is expected.
- The fiscal deficit has been estimated at Rs 12,604.92 crore which is 2.94% of the state Gross Domestic Product (GDP).
Key Allocations:
i.Industry & Innovation: The Budget allocated Rs.50 crore for Micro, Small and Medium Enterprises (MSMEs) industries, Rs.35 crore for the Mega Industry Policy, and Rs.500 crore for the Mega Project Scheme to promote economic growth and innovation.
ii.Water resources and irrigation– An outlay of Rs 625 crore has been allocated for the Jamrani Dam, Rs 75 crore for the Song Dam, and Rs 285 crore for the Lakhwad Project.
- Furthermore, Rs 1,500 crore has been provided for special capital assistance for states, while Rs 1,843 crore has been assigned to the Jal Jeevan Mission(JJM).
- An amount of Rs.100 crore has also been provided to improve urban water supply.
iii.Roads, transport and infrastructure– The budget aims to construct 220 kilometre(km) of new roads, reconstructing 1,000 km of roads, and renovating 1,550 km of existing routes.
- An outlay of Rs 1,200 crore has been allocated to road safety works, along with provisions for building 37 new bridges.
- Pradhan Mantri Gram Sadak Yojana (PMGSY) scheme has been provided with Rs 1,065 crore while Rs 15 crore allocated for constructing bus stations, and Rs 36.88 crore for the Uttarakhand Civil Aviation Development Authority(UCADA).
iv.Tourism and cultural development– The budget provided an outlay of Rs 100 crore for the development of Tehri Lake, Rs 25 crore for the Manskhanda Scheme, and Rs 20 crore for the Vibrant Village Scheme.
- New tourist destinations will be developed with an outlay of Rs 10 crore.
- An amount of Rs 10 crore has been set aside for improving the Char Dham road network.
v.Environment and sustainable development– Under this sector, the government allocated Rs 395 crore for the Compensatory Afforestation Fund Management and Planning Authority (CAMPA) scheme, Rs 60 crore for climate change mitigation, and Rs 125 crore for the Spring and River Rejuvenation Authority (SARA).
- The budget also delegated Rs.10 crore for creating public forests.
vi.Social security and welfare– The social security schemes have been provided with Rs.1,811.66 crore under which Rs 918.92 crore has been allocated for subsidies across various welfare programs.
- The Food Security Scheme received Rs 600 crore, while Rs 207.18 crore and Rs 54.12 crore have been provided under the Pradhan Mantri Awas Yojana(PMAY)(Rural) and PMAY(Urban), respectively.
- Rs 55 crore has been allocated for cooking gas subsidies for low-income families, while an additional Rs 25 crore has been allocated for Economically Weaker Section (EWS) housing grants.
vii.Furthermore, an amount of Rs 989.74 crore has been allocated for National Health Programme and National Urban Health Mission, Rs 150 crore for Rural Enterprise Acceleration Project (REAP), Rs 127 crore under Spring And River Rejuvenation Authority, Rs 60 crore for Mukhya Mantri Swarojgar Yojana(MMSY) and Rs 10 crore for Mukya Mantri Palayan Roktham Yojana.
About Uttarakhand:
Chief Minister (CM)- Pushkar Singh Dhami
Governor– Gurmit Singh
Capitals– Dehradun (Winter), Bhararisen (Summer)
Tiger Reserve– Corbett Tiger Reserve, Rajaji Tiger Reserve
