Uttarakhand government unveils Rs 1,01,175 crore budget with focus on infrastructure, welfare

The financial framework reflects the government's strategic focus on sustainable development and improving the quality of life for residents across the state.
Uttarakhand Finance Minister Premchand Aggrawal (L) with CM Pushkar SIngh Dhami.
Uttarakhand Finance Minister Premchand Aggrawal (L) with CM Pushkar SIngh Dhami.(Photo | Express)
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DEHRADUN: In a bold move to enhance infrastructure while maintaining economic stability, the Pushkar Singh Dhami-led Uttarakhand government has unveiled a Rs 1,01,175.33 crore budget for the financial year 2025-26.

Finance Minister Prem Chandra Aggarwal presented the budget on Thursday in the State Assembly in Dehradun, outlining a comprehensive roadmap for the state's development.

"This budget focuses on key sectors such as agriculture, industry, energy, infrastructure, connectivity, tourism, and Ayush," Aggarwal stated, underscoring the government's commitment to fostering growth across multiple domains.

In an effort to bolster public welfare, Finance Minister Prem Chandra Aggarwal unveiled the Uttarakhand budget for 2025-26, highlighting the government's commitment under Chief Minister Pushkar Singh Dhami.

"We are placing a strong emphasis on key sectors such as education, health, infrastructure, and rural development," Aggarwal declared during the budget presentation.

The budget outlines total receipts of Rs 1,01,034.75 crore, comprising Rs 62,540.54 crore in revenue receipts and Rs 38,494.21 crore in capital receipts. The projections indicate that tax revenue is expected to contribute Rs 39,917.74 crore, while non-tax revenue is anticipated to yield Rs 22,622.80 crore.

This financial framework reflects the government's strategic focus on sustainable development and improving the quality of life for residents across the state. In his budget speech, Finance Minister Aggarwal stated, "The budget emphasizes key sectors, including agriculture, industry, energy, infrastructure, connectivity, tourism, and Ayush, reflecting the Dhami government's commitment to holistic development."

In his address to the assembly, Finance Minister Agarwal stated that the budget is based on the 'GYAN' model (Gareeb, Yuva, Anndata, and Naari), which emphasizes a special focus on the poor, youth, farmers, and women.

Highlighting the budget's provisions for industry and startups, he noted, "We have allocated Rs 50 crore for MSME industries, Rs 35 crore for the Mega Industry Policy, and Rs 30 crore to promote startup entrepreneurship."

Additionally, the FM announced a provision of Rs 500 crore under the Mega Project Scheme, emphasising the government's commitment to fostering economic growth and innovation.

Finance Minister Agarwal, in his budget speech, announced substantial allocations across key sectors, focusing on infrastructure, social security, environment, and sustainable development.

Water resources and irrigation

A significant portion of the budget has been directed towards water resource development. 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. Additionally, Rs 1,500 crore has been earmarked under special capital assistance for states, while Rs 1,843 crore has been designated for the Jal Jeevan Mission. To improve urban water supply, Rs 100 crore has been set aside.

Roads, transport and infrastructure

The government has prioritised infrastructure development, allocating funds for road construction and safety. Plans include constructing 220 km of new roads, reconstructing 1,000 km of roads, and renovating 1,550 km of existing routes. Rs 1,200 crore has been set aside for road safety works, along with provisions for building 37 new bridges. The budget also includes Rs 1,065 crore under the PMGSY scheme, Rs 15 crore for constructing bus stations, and Rs 36.88 crore for the Civil Aviation Department.

Tourism and cultural development

To promote tourism, Rs 100 crore has been allocated for the development of Tehri Lake, Rs 25 crore for the Manskhanda Scheme, and Rs 20 crore for the Vibrant Village Scheme. Additionally, Rs 10 crore has been earmarked for developing new tourist destinations, while another Rs 10 crore has been set aside for improving the Char Dham road network.

Environment and sustainable development

The budget emphasises balancing ecological preservation with economic growth. A strong commitment has been made to clean energy, conservation, and achieving sustainable development goals. Rs 395 crore has been allocated for the CAMPA scheme, Rs 60 crore for climate change mitigation, and Rs 125 crore for the Spring and River Rejuvenation Authority (SARA). To enhance afforestation, Rs 10 crore has been designated for creating public forests.

Social security and welfare

A substantial Rs 1,811.66 crore has been allocated for social security schemes, with Rs 918.92 crore earmarked for subsidies across various welfare programs. The Food Security Scheme will receive Rs 600 crore, while Rs 207.18 crore and Rs 54.12 crore have been set aside for the Pradhan Mantri Awas Yojana (Rural) and (Urban), respectively. An additional Rs 25 crore has been allocated for EWS housing grants.

For low-income families, Rs 55 crore has been allocated as cooking gas subsidies, while Rs 2 crore has been set aside for Environmental Friend Insurance. Rs 40 crore has been designated to provide free travel on state transport buses, Rs 10 crore for the State Food Grain Scheme, and Rs 34.36 crore to ensure affordable salt for Antyodaya ration card holders.

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