Madhya Pradesh Budget 2026-27 Unveils Major Urban Development Push
Urban development has emerged as a central pillar of the Madhya Pradesh Budget for the fiscal year 2026-27, which was formally presented in the state Assembly on Wednesday. Finance Minister Jagdish Devda detailed a comprehensive plan aimed at transforming the state's urban landscape, with a significant financial commitment to modernize cities and enhance livability.
Substantial Financial Allocation for Urban Modernization
During the budget presentation in Bhopal, Minister Devda announced a substantial allocation of Rs 21,562 crore dedicated specifically to urban development initiatives. This funding is strategically earmarked for a multi-faceted approach that includes modernizing urban infrastructure, expanding green and sustainable projects, and significantly improving housing availability for residents across the state.
Advancements in Sustainable Public Transport
The budget highlights notable progress in the state's public transportation sector. Minister Devda emphasized that metro rail services have now successfully commenced operations in both Bhopal and Indore, marking a major milestone in urban mobility. Furthermore, under the central government's PM e-Bus Seva scheme, a total of 972 electric buses have been approved for Madhya Pradesh, with 472 of these eco-friendly buses already operational in key urban centers. To further bolster this green transition, the state has rolled out the MP E-Vehicle Policy 2025, designed to promote the adoption of sustainable transport options.
Strategic Planning and Housing Initiatives
In a move to ensure organized urban growth, the state government has issued official notifications for the establishment of the Bhopal and Indore Metropolitan Region Development Authorities. These bodies are tasked with overseeing planned infrastructure development and fostering investment opportunities in these major metropolitan areas. Concurrently, the Integrated Township Policy 2025 is being actively implemented to support sustainable and green urban expansion.
Housing continues to be a top priority for the state. Madhya Pradesh is currently leading the nation in the implementation of the Pradhan Mantri Awas Yojana (Urban). To date, an impressive 8.77 lakh houses have been constructed under this scheme. The state has set an ambitious new target of constructing 10 lakh additional homes over the next five years. In support of urban livelihoods, the budget has also extended Rs 408 crore in interest-free loans to approximately 1.79 lakh urban street vendors, providing crucial financial assistance.
New Schemes and Detailed Financial Provisions
A key new initiative introduced in this budget is the Shraddha Nagar Scheme. This program sets an investment target of Rs 5,000 crore over a three-year period, specifically focused on enhancing ward-level infrastructure to improve local living conditions.
The budget outlines several specific financial provisions to back these urban development goals:
- Rs 2,316 crore allocated specifically for housing projects.
- Rs 349 crore designated for road repairs and maintenance.
- Rs 3,467 crore allocated under the AMRUT 2020 mission for urban infrastructure.
- Rs 157 crore provided as a one-time grant to urban local bodies for delivering essential basic services to citizens.
This comprehensive budgetary approach underscores the Madhya Pradesh government's strong commitment to fostering sustainable urban growth, improving public infrastructure, and enhancing the quality of life for its urban residents through targeted investments and strategic policies.
