Gujarat Chief Minister Applauds Union Budget 2026-27 as a Catalyst for Comprehensive Development
In a significant statement from Gandhinagar, Chief Minister Bhupendra Patel on Thursday praised the Union Budget 2026-27, describing it as a blueprint for comprehensive development that promises substantial benefits for Gujarat. Speaking to reporters, the CM outlined several key announcements that are set to bolster the state's economic growth and infrastructure.
Extended Tax Holiday in GIFT City to Boost Investor Confidence
Patel highlighted the extension of the tax holiday in GIFT City from 10 to 20 years as a major incentive for long-term investments. "Extending the 10-year tax holiday in the country's fintech hub GIFT City to 20 years will attract investors to make long-term investments with greater confidence," he stated. This move is expected to enhance Gujarat's position as a premier destination for financial and technological investments.
Development of Tier-2 and Tier-3 Cities as Economic Regions
The Union Budget's focus on developing tier-2 and tier-3 cities with populations exceeding 5 lakh into city economic regions was also emphasized by the CM. This initiative aims to decentralize economic growth and create robust urban centers across the state, fostering regional development and job creation.
Biopharma Shakti Programme to Empower Gujarat's Pharmaceutical Sector
With Gujarat leading the nation in the pharmaceutical sector, Patel noted that the state stands to gain significantly from the Union government's Biopharma Shakti programme, which has an allocation of Rs 10,000 crore. This funding is poised to drive innovation, research, and production in the biopharma industry, reinforcing Gujarat's dominance in this critical field.
MSME Fund to Create 'Champion MSMEs' in Gujarat
Referring to Gujarat's 42.9 lakh MSMEs as the backbone of the economy, Patel welcomed the central government's announcement of a Rs 10,000 crore SME fund aimed at creating "Champion MSMEs." This initiative is expected to directly benefit the state's MSME sector by providing financial support and fostering growth, thereby strengthening the local economy.
Leveraging India Semiconductor Mission 2.0
The CM added that Gujarat will actively leverage opportunities under the India Semiconductor Mission 2.0, aligning with the state's strategic focus on advanced manufacturing and technology sectors. This move is anticipated to attract investments and boost employment in high-tech industries.
Increased Central Devolution to Accelerate Infrastructure Development
Highlighting Gujarat's contribution to national growth, Patel pointed out that under the 16th Finance Commission, the state's central devolution has increased from 3.48% to 3.75%. "This will accelerate infrastructure development, including in rural areas," he said, underscoring the potential for enhanced public works and connectivity projects across the state.
Overall, Chief Minister Bhupendra Patel's remarks underscore a positive outlook for Gujarat, with the Union Budget 2026-27 poised to drive economic expansion, technological advancement, and infrastructural improvements throughout the region.
