On 3 March 2025, Samrat Choudhary, Deputy Chief Minister (Dy CM), and Finance Minister (FM) of Bihar presented a Rs 3.17 lakh crore (Rs 3,16,895.02 crore) state Budget for the Financial Year 2025-26(FY26). The budget expenditure estimated for 2025-26 is Rs 38,169 crore more than the budget estimate (Rs 2,78,725.72 crore) for FY25..
- The Education sector receives the highest allocation of Rs.60,954 crores, followed by the Health Department (Rs.20,335 crores), the Rural Development Department (Rs.16,193 crores) and , Energy Department(Rs.13,483 crores).
- Bihar’s budget has grown 15 times, from Rs 22,568 crore (Total Expenditure from State Budget) in 2005-06 to nearly Rs 3.17 lakh crore.
Note: The budget primarily focused on women’s empowerment, farmer support, infrastructure development, and prioritising student welfare.
Fiscal Indicators:
i.The Revenue Expenditure(RE) for 2025-26 is estimated at Rs 2,52,000 crore, which is Rs 26,323 crore more than Rs 2,25,676.99 crore for the FY25 budget estimate.
ii.The Capital expenditure (CapEx) for FY26 is estimated at Rs 64,894.76 crore. The Revenue and Capital Expenditures in the total expenditure (Rs 3,16,895 crore) are 79.52% and 20.48% respectively.
iii.For 2025-26, the estimated Fiscal Deficit(FD) is Rs 32,718 crore, which is 2.98% of the Gross State Domestic Product (GSDP) of Rs 10,97,264 crore.
- The FD to the GSDP has been maintained within the statutory limits of 3% as per the FRBM Act (Fiscal Responsibility and Budget Management Act).
iv.Bihar has a Revenue Surplus of Rs 8,831 crore during 2025-26 which is 0.80% of the GSDP.
- Revenue Surplus will be used for investment in physical infrastructure, generating productive capital assets like roads, buildings, power, schools, health centers, irrigation schemes, etc
v.The Total Revenue Receipt has been estimated at Rs 2,60,831 crore in FY26 which is Rs 34,033 crore more than Rs 2,26,798 crore for FY25.
Sector-Wise Allocations:
Education Sector:
i.For 2025-26, the expenditure for the education department is estimated at Rs 60,964.87 crore, reflecting the state’s focus on improving literacy and higher education opportunities.
ii.The Bihar Government has also decided to increase the scholarship amount from Rs 1,000 to Rs 2,000 per month for students from Class I to Class X and will also ensure the opening of at least one degree college in all 534 blocks in Bihar.
Health Sector:
i.Rs 20,035.8 crore has been set aside for healthcare improvements, including infrastructure development and better medical facilities.
ii.A dedicated cancer hospital has been proposed for the Begusarai district.
iii.Over 100 public healthcare centers have been established in rural Bihar over the past 15 years.
Road Sector:
i.Rs 17,908 crore has been estimated for the Road Sector, which involves the works of Road Construction and Rural departments.
ii.The total amount includes Rs 3,000 crore for the Output and Performance-based Road Asset Maintenance Contract (OPRMC) maintenance of the road.
Rural Development:
i.Rs 15,586 crore was allotted for rural development, focusing on roads, electricity, water supply, and housing.
ii.Rs 5,972 crore was allocated for Saat Nischay-II, a state government initiative aimed at making Bihar Atmanirbhar (self-reliant) in 7 sectors viz health, infrastructure, employment, and woman empowerment through rural infrastructure, skill development, and employment schemes.
Welfare Sector:
i.Rs 13,368 crore has been estimated for the Social Welfare Sector, which includes the welfare of Scheduled Caste/Scheduled Tribe (SC/ST), Minority, Other Backward Castes (OBC) and Most Backward Classes (MBC).
ii.Rs 19,648.86 crore has been allocated for the SC Special Component Plan (SCP) and Rs 1,735 crore has been allocated for the Tribal Sub-Plan (TSP) (now known as Development Action Plan for Scheduled Tribes, DAPST).
iii.Rs 3,303 crore was set aside for student scholarships, with 90% of beneficiaries from OBC, Economically Backward Classes (EBC), and SC communities.
Law and Order:
Rs 17,831 crore has been allocated to the home department, responsible for maintaining law and order in the state.
Digital and Property Reforms:
The government aims to introduce a paperless property registration system, enhancing efficiency and transparency.
Women’s Empowerment Initiatives:
The budget includes several provisions to support women:
i.‘Mahila Haat’ (Women’s Marketplace) in Patna to encourage women entrepreneurs.
ii.‘Pink Toilets’ in all districts to improve sanitation facilities for women.
iii.‘Pink Buses’ in major cities to enhance women’s mobility.
iv.‘Kanya Vivah Mandaps’ in every panchayat to provide a venue for the marriage of girls from poor families.
v.Women driver training centers to be opened in major cities.
vi.33% reservation for women in the State Road Transport Corporation (SRTC).
Infrastructure Development & Agriculture:
i.Greenfield Airports will be developed in Sultanganj (Bhagalpur district) and Raxaul (East Champaran district).
ii.The Purnea Airport is expected to become operational within 3 months.
iii.Rs 13,180 crore was earmarked for subsidies in various schemes run under agriculture, energy, and other sectors.
iv.The state government plans to open Migration Counselling Cum Registration Centers (MCRCs) in cities like Hyderabad (Telangana), Bengaluru (Karnataka), Mumbai (Maharashtra), Coimbatore, and Chennai (Tamil Nadu), etc. for assisting migrant labourers from Bihar outside the state.
v.The state government, in association with the National Agricultural Cooperative Marketing Federation of India Limited (NAFED) and the National Cooperative Consumer Federation (NCCF), will fix the minimum support price of pulses for the benefit of farmers.
About Bihar:
Chief Minister (CM)- Nitish Kumar
Governor– Arif Mohammed Khan
Airports– Darbhanga Airport, and Jogbani Airport
Birds Sanctuaries– Kanwar Jheel Birds Sanctuary, Nagi-Nakti Bird Sanctuary
