
BHUBANESWAR: Ahead of the annual budget for the 2025-26 fiscal, experts have suggested the Odisha government increase budgetary allocations for health, nutrition, education, agriculture, infrastructure and social safety nets to support need-based interventions and vulnerable populations.
Speaking at the pre-budget consultation organised by CYSD, a leading non-profit, former Union Rural Development secretary Jugal Kishore Mohapatra said the state continues to face challenges in effective budget management, as evidenced by the annual underutilisation of 10-11 per cent of the estimated budget even as the government has successfully demonstrated fiscal responsibility.
"Strengthening panchayats and urban local bodies with substantial funding - preferably structured as low-interest loans - can enhance their capacity to implement need-based interventions, such as infrastructure development. Utilising unspent government funds for this purpose would optimise resource allocation and improve governance efficiency," he said.
Mohapatra, also a former chief secretary of Odisha, said the state’s climate budget, which remains underdeveloped, should prioritise renewable energy, climate-resilient agricultural and horticultural practices, and strategies to monitor and reduce carbon emissions.
“The government must ensure budget transparency and accountability. A public portal should be established to provide detailed timelines for all government projects, specifying their launch date, completion schedule, and current status,” he suggested.
Former vice-chancellor of RD Women’s University Prof Padmaja Mishra stressed on infrastructure development and accessible health care for senior citizens. Dedicated budgetary allocations are needed to establish community-level healthcare facilities for the elderly, she said.
Over the past five years, Odisha’s budget has seen significant growth, rising from Rs 1.53 lakh crore in 2021-22 to Rs 2.65 lakh crore in 2024-25. While the increase in budget over the years appears promising, the reality on the ground presents a nuanced picture.
Budget experts pointed out that the state budget may have seen significant growth in the last few years, a disproportionate share of this increase has been directed towards select schemes, leaving other sectors underfunded.
While the health sector saw a notable rise, reaching Rs 20,837 crore in 2024-25, with Rs 5,374 crore allocated to the Gopabandhu Jana Arogya Yojana, the education budget, while slightly increased to Rs 34,323 crore, still falls short of the recommended six per cent share of the GSDP.
“Two-thirds of the health budget should be dedicated to strengthening primary healthcare as the share of health expenditure for primary care dropped from 50 pc (2022-23) to 29 pc (2024-25), far below the National Health Policy recommendation of 67 pc,” the experts suggested.