Uttar Pradesh Chief Minister Yogi Adityanath Presents Historic 10th Budget, Targets $1 Trillion Economy
In a landmark event, Uttar Pradesh Chief Minister Yogi Adityanath presented the state's budget for the fiscal year 2026-27 on Wednesday, marking his 10th consecutive budget presentation—a first for any chief minister in the state's history. He hailed this budget as a "milestone in establishing Uttar Pradesh as the growth engine of a Viksit Bharat" (Developed India).
Budget Focuses on Security, Empowerment, and Prosperity
The budget is strategically centered on the theme "Surakshit Nari, Saksham Yuva, Khushal Kisan Aur Har Haath Ko Kaam" (Secure Women, Capable Youth, Prosperous Farmers, and Work for Every Hand). Chief Minister Adityanath emphasized that this budget encapsulates the "navnirman" (reconstruction) achieved over the past nine years, transforming Uttar Pradesh from a state perceived as having policy paralysis to one recognized for its unlimited potential.
"In the past nine years, we achieved success in changing the perception about Uttar Pradesh. The state emerged from policy paralysis to recognition as a state with unlimited potential. This budget size increased three-fold over the past nine years and will encourage technical investment in the state," stated Yogi Adityanath.
Substantial Allocations for Development and Infrastructure
The Chief Minister detailed significant financial commitments in the budget:
- Rs 43,565 crore allocated exclusively for new schemes.
- Rs 2 lakh crore earmarked for capital expenditure, aimed at infrastructure development and economic strengthening, which is expected to generate substantial employment opportunities.
He highlighted that despite not imposing any new taxes over the past nine years, Uttar Pradesh has transitioned from being labeled a BIMARU state (a term for economically backward states) to a breakthrough state. This transformation was achieved through improved financial management, including plugging tax theft and leakages, resulting in a consistent budget increase—12.9% over the previous year alone.
Fiscal Discipline and Economic Growth
Adityanath underscored Uttar Pradesh's adherence to fiscal responsibility, noting that the state is among the few in India to maintain limits set under the Fiscal Responsibility and Budget Management Act. This was accomplished without new taxes, while implementing numerous welfare schemes. As a result, UP's economy has strengthened, now ranking among the top three economies in the country.
He referenced Reserve Bank of India guidelines, stating that the gross pay of total Gross State Domestic Product (GSDP) should not exceed 30%. In 2017, UP's level was above 30%, but it was reduced to 27% within 2-3 years. Although the COVID-19 pandemic caused a temporary rise, it was brought back to 27%, with the government aiming to lower it to 23% this year.
Employment and Investment Initiatives
The unemployment rate in Uttar Pradesh has dramatically decreased from 17-19% before 2017 to below 2.24% currently. This job-led growth is attributed to a focus on MSMEs, start-ups, the One District-One Product scheme, and local industries, making UP a favored investment destination.
To further enhance economic planning, the government announced the establishment of a State Data Authority in Uttar Pradesh. This authority will conduct real-time data monitoring, aiding in the formulation of future schemes to help the state achieve its ambitious goal of becoming a $1 trillion economy.
Comprehensive Sectoral Allocations and Future Vision
The budget includes extensive allocations for key sectors such as agriculture, artificial intelligence, women empowerment, tourism, health, and education. Adityanath remarked that the state will now follow the "Jan Vishwas Siddhant" (Public Trust Principle), having already established itself as a top performer in ease of doing business.
"In addition to better law and order, we will now provide all facilities to investors, such as relaxed registration and licensing processes," he assured.
Concluding his address, the Chief Minister reflected on the budget's significance: "The Budget is an example of what can be achieved when the organisation is the same, but the leadership changes." This statement underscores the transformative impact of consistent governance under his leadership, positioning Uttar Pradesh for sustained growth and development in the coming years.
