On 10 March 2025, Ajit Pawar, the Deputy Chief Minister (Dy CM) and Finance Minister (FM) of Maharashtra presented a Rs 7.20 lakh crore State Budget for the Financial Year 2025-26 (FY26) with key provisions for industries, infrastructure, agriculture and allied sectors, employment and social welfare.
- The total Expenditure for 2025-26 is Rs 7.20 lakh crore with a projected increase in Revenue Receipts to Rs 5,60,964 crore from Rs 5,36,463 crore (Revised Estimate,RE for 2024-25).
- Maharashtra is the 2nd state after Uttar Pradesh (Rs 8.08 trillion) to propose such a large budget.
Fiscal Management:
i.Maharashtra’s Fiscal Deficit(FD) stands at Rs 1,36,234 crore, remaining below the limit of 3% of the Gross State Domestic Product (GSDP), in line with the Fiscal Responsibility and Budgetary Management(Amendment) Act, 2006.
ii.Maharashtra’s Revenue Receipts for 2024-25 are projected at Rs 4,99,463 crore, up from Rs 4,86,116 crore in 2023-24, as per the Budget Estimates (BE) and Revised Estimates (RE), respectively.
- Additionally, the Revenue Deficit has consistently remained below 1% of GSDP. Also, the estimated debt is 18.7% of GSDP
iii.The Capital Expenditure(CapEx) for FY26 has seen a marginal increase of Rs 385.89 crore over the budget estimate of Rs 92,779 crore for FY25.
iv.The FD has been contained at 2.9%, projected to decline to 2.7% next year.
v.The Revenue Expenditure is projected at Rs 6,06,855 crore. As a result, the estimated Revenue Deficit amounts to Rs 45,891 crore.
Note: According to the pre-budget Economic Survey of Maharashtra 2024-25, the state’s economy is projected to grow at 7.3% in 2024-25, outpacing the national growth rate of 6.5%
Agriculture, Water & Irrigation Sector Allocations:
i.Rs 9,000 crore has been allocated for the Agriculture Sector. Rs 500 crore has been allocated for Artificial Intelligence (AI) technology in agriculture, a pilot project covering 1 lakh+ hectares with 50,000 farmers.
ii.The 2nd phase of the Nanaji Deshmukh Krishi Sanjivani Project will be implemented in 7,201 villages at an outlay of Rs 351.42 crore.
iii.45 lakh agricultural pumps will receive free electricity under the Mukhyamantri Baliraja Mufat Vij Yojana or “Maharashtra CM Baliraja Free Electricity Scheme for Farmers”.
iv.A Rs 19,300 crore irrigation project will be implemented in the Tapi River Valley.
- Rs 5,000 crore has been allocated for expanding the Irrigation network.
v.Rs 8,200 crore has been allocated for Urban Wastewater Recycling for Agriculture and Industry.
vi.Rs 3,939 crore has been proposed for the Jal Jeevan Mission (JJM).
Social Welfare:
i.The Maharashtra government has made a provision of Rs 36,000 crore for the Mukhyamantri – Majhi Ladki Bahin Yojana (CM’s Beloved Sister scheme). It may increase to Rs 64,000 crore if the monthly grant rises to Rs 2,100).
ii.Maharashtra has set a target of 24 lakh “women’s Self-Help Groups (SHGs)” (Lakhpati Didis) and has proposed to set up a UMED mall in every district.
Housing Sector and Others:
i.The government has approved the construction of 20 lakh houses in 2026 under the Pradhan Mantri Awas Yojana – Rural (PMAY – R) Phase-2.
ii.It also proposed the allocation of Rs 8,100 for the implementation of Pradhan Mantri Awas Yojana – Urban (PMAY-U).
iii.Rs10,000 crore has been allocated for the Urban Development
iv.Rs 1,00,000 crore rupees has been proposed for the development of the tourism sector over the next 10 years.
Infrastructure:
i.Rs 64,000 crore has been allocated for the infrastructure projects of Mumbai (Maharashtra).
ii.Some initiatives are:
- Maharashtra plans to set up the 3rd airport near the upcoming Vadhvan port.
- A night landing facility will be introduced at the Shirdi International Airport (SAG) in Ahmednagar.
Points to Note:
i.Currently, Mumbai has 2 major airports: Chhatrapati Shivaji Maharaj International Airport (CSMIA) and the upcoming Navi Mumbai International Airport (NMIA).
ii.Vadhvan Port is a Greenfield all-weather port in the Palghar district that holds 26% state government ownership which is being developed at Rs76,220 crore.
Cultural Initiatives:
The state has proposed to build:
i.A grand memorial of Chhatrapati Shivaji Maharaj in Agra (Uttar Pradesh (UP)) in coordination with the UP government and a memorial for Maratha warriors will be built in Panipat, Haryana.
ii.A grand memorial of Chhatrapati Sambhaji Maharaj in Sangameshwar (Maharashtra) and a memorial for former Prime Minister (PM) Bharat Ratna Atal Bihari Vajpayee in Mumbai.
iii.Rs 220 crore will be allocated for the Bal Thackeray memorial in Mumbai.
Key Points:
i.Industrial Policy 2025 aims to attract Rs 20 lakh crore in investments and generate 50 lakh jobs.
ii.7 new business centers will be established across the state to boost economic growth.
iii.Motor Vehicle Tax has been increased by 1%, generating Rs 150 crore revenue.
iv.Currently, a motor vehicle tax of 7% to 9% is levied on privately owned, non-transport four-wheeler Compressed Natural Gas (CNG) and Liquefied Petroleum Gas (LPG) vehicles, depending on their type and price.
v.Stamp Duty under Section 4 of the Maharashtra Stamp Act has been raised to Rs 500 from Rs100 for supplementary documents.
vi.New high-tech command control center based on artificial intelligence will be established at the office of the Commissioner of Police in Mumbai.
- Maharashtra Cyber Crime Security Corporation will be set up for cyber security.
About Maharashtra:
Chief Minister (CM)- Devendra Fadnavis
Governor– Chandrapuram Ponnusamy Radhakrishnan
Airport– Sindhudurg Airport
Seaports– Jawaharlal Nehru Port, and Mumbai Port
