VIJAYAWADA: Chief Minister N Chandrababu Naidu held an extensive discussion with Finance Minister Payyavula Keshav and senior department officials regarding the preparation of the Budget for the financial year 2025-26.
The meeting, held at his residence in Undavalli on Wednesday, saw the Chief Minister emphasise that the Budget should strike a balance between welfare schemes and the development of the State.
It may be pointed out that the TDP-led NDA government had presented an interim Budget in November 2024, with an outlay of Rs 2.94 lakh crore for a five-month period. The Assembly session is scheduled to commence on February 24, with the Budget expected to be tabled on February 28.
The State government has challenges galore in formulating the Budget, despite the Centre providing funds for key projects such as the Amaravati capital city and the Polavaram Irrigation Project. Officials explained that the preparation of the Budget has been difficult, with Naidu issuing directives to outline plans for implementation of other poll promises.
‘YSRCP policies adversely hit State’s future income’
These include Thalliki Vandanam (Rs 15,000 aid for mothers of school-going children), Annadata Sukhibhava (Rs 20,000 financial assistance per year for farmers from both State and Centre), and free bus travel for women from the coming financial year.
Furthermore, sources held the previous YSRCP government responsible for the State ranking 17th out of 18 States in the fiscal health index. They added that the YSRCP’s policies have adversely affected the State’s future income as well.
Since assuming office in June 2024, the State government has increased social security pensions, adding a burden of Rs 2,720 crore. It has also implemented the free sand policy. Additionally, Deepam 2.0 (three free gas cylinders per year for eligible beneficiaries) has been launched, and Anna Canteens have been established.