Madhya Pradesh Unveils Rs 4.38 Lakh Crore Budget with GYANII Framework for Developed State Vision
In a significant budgetary expansion, the Madhya Pradesh government has transformed its existing GYAN framework into GYANII by incorporating industry and infrastructure as core pillars. Deputy Chief Minister Jagdish Devda, who also holds the finance portfolio, presented this comprehensive Rs 4,38,317 crore budget in the state assembly on Wednesday, with agriculture receiving approximately one-third of the total allocations.
From GYAN to GYANII: A Strategic Evolution
The budget marks a strategic evolution from last year's GYAN framework—which focused on gareeb (poor), yuva (youth), annadata (farmers), and naari (women)—to the enhanced GYANII model. This expansion aligns with the state's ambitious vision for a developed Madhya Pradesh by 2047. "To make this journey even more successful and result-oriented, our government added 'I' for industry and 'I' for infrastructure which has transformed GYAN into its next phase—GYANII," Devda declared during his budget speech.
Agriculture Takes Center Stage with Massive Allocations
The budget demonstrates an intensified focus on agriculture, with Chief Minister Mohan Yadav having previously declared that 2026 would be observed as the "Year of Farmer Welfare." The farm sector received a substantial allocation of Rs 1.15 lakh crore, representing nearly one-third of the total budget outlay. Specific allocations include:
- Rs 28,158 crore for increasing production and promoting modern technology
- Rs 64,995 crore for strengthening agro-input systems including seeds, equipment, irrigation, and energy facilities
- Rs 8,091 crore for agricultural support schemes
- Rs 13,769 crore for crop insurance and other relief funds
Innovative Rolling Budget Approach
Devda introduced an innovative "rolling budget" concept that focuses on fiscal responsibility while maintaining flexibility for better planning and implementation over a three-year period covering 2026-27, 2027-28, and 2028-29. This approach is designed to link with the state's long-term vision for development.
Women and Child Welfare Schemes Receive Significant Funding
The budget continued strong support for women-centric schemes, with the flagship Ladli Behna Yojana receiving the lion's share of Rs 23,883 crore. Other notable allocations include:
- Ladli Laxmi Yojana for the girl child: Rs 1,801 crore
- New Yashoda Dugdh Pradan Yojana for milk distribution to students: Rs 700 crore
- Sakhi Niwas Yojana for working women's hostels
- Matri Vandana Yojana for nutritious meals for pregnant women
- Ujjwala Yojana
The total provision for women and child welfare schemes amounts to Rs 1,27,555 crore.
Fiscal Details and Revenue Projections
The budget estimates total revenue receipts at Rs 3,08,703 crore, comprising:
- State tax revenue: Rs 1,17,667 crore
- State's share in Central taxes: Rs 1,12,137 crore
- Non-tax revenue: Rs 24,394 crore
- Central grants-in-aid: Rs 54,505 crore
Revenue expenditure is estimated at Rs 3,08,659 crore, reflecting a 7.5% increase compared to 2025-26. The budget projects a revenue surplus of Rs 44.42 crore and notably introduces no new taxes. However, the state government will pay 10.93% of its revenue receipts as interest on existing loans in 2026-27.
Political Reactions and Opposition Concerns
The budget presentation was marked by political drama, with Congress members entering the well of the House during the concluding part of Devda's speech. Led by Leader of Opposition Umang Singhar, Congress MLAs voiced concerns about the budget's impact on farmers and the poor.
"This budget is only a charter of empty declarations sans funds," Singhar argued. "When the finance minister says that the budget deficit will be as high as Rs 74,000 crore and the government does not have resources, how will these schemes announced by the government run? The BJP consistently promised to double the income of farmers. But this budget, which they claim is farmer-oriented, shows no clear-cut policy on increasing the income of farmers or creating jobs for the unemployed."
Vision for Prosperous Madhya Pradesh
Speaking to media after the budget presentation, Chief Minister Mohan Yadav emphasized the comprehensive vision behind the financial plan. "It is about prosperous Madhya Pradesh, happy Madhya Pradesh, and cultural Madhya Pradesh," he stated. "Without culture, our tradition is incomplete. In our state, it is our resolve to fight poverty, unemployment, and ensure welfare of youth. We aim at development that is inclusive, environmentally sustainable with cultural integrity. That has been the focus of this budget. We have unveiled the vision document for our state in 2047 and are moving forward in that direction."
The budget represents the sixth presented by Devda and the third under the Mohan Yadav-led government, setting the financial roadmap for Madhya Pradesh's development journey toward its 2047 vision.
