Sports Budget 2026-27: Modest Hike Despite Major Games, Focus on Manufacturing
In the Union Budget for the financial year 2026-27, the Ministry of Youth Affairs and Sports (MYAS) has been allocated Rs 4479.88 crore, marking a modest increase of Rs 685.58 crore from the previous fiscal's original allocation of Rs 3794.30 crore. This comes despite the upcoming Commonwealth and Asian Games scheduled for the year, raising questions about the government's prioritization of sports funding.
First-Time Grant for Sports Goods Manufacturing
Finance Minister Nirmala Sitharaman announced a significant first-time grant of Rs 500 crore to boost the sports goods manufacturing sector. This allocation aims to promote the development of manufacturing hubs, potentially enhancing domestic production and reducing reliance on imports. The move is seen as a strategic step to strengthen India's sports infrastructure from the ground up.
Underutilization of Previous Budget and Revised Estimates
An analysis reveals that the ministry failed to fully utilize its original allocation of Rs 3794.30 crore for 2025-26. The Department of Expenditure revised this amount down to Rs 3346.54 crore due to non-utilization of funds, primarily under the Khelo India schemes. This revision resulted in a cut of Rs 447.76 crore from the initial budget.
From this context, the ministry projects an overall hike of Rs 1133.34 crore compared to the revised estimate of 2025-26. However, when comparing original allocations, the increase is only Rs 685.58 crore, highlighting a discrepancy in how the budget growth is presented.
Key Allocations and Reductions
The budget includes several notable allocations and cuts:
- Khelo India Programme: Received an allocation of Rs 924.35 crore, continuing as the government's flagship initiative to promote grassroots sports.
- Sports Authority of India (SAI): Allocation enhanced from Rs 880 crore to Rs 917.38 crore, supporting training and development programs.
- Commonwealth Games Assistance: Hiked by 78 percent from Rs 28.05 crore to Rs 50 crore, reflecting the upcoming event's importance.
- Anti-Doping Agencies: Surprise reductions were noted:
- National Dope Testing Laboratory (NDTL): Budget slashed from Rs 28.55 crore (revised estimate) to Rs 23 crore, a cut of Rs 5.55 crore.
- National Anti-Doping Agency (NADA): Allocation reduced from Rs 24.30 crore (revised estimate) to Rs 20.30 crore, a sharp cut of Rs 4 crore.
Implications and Outlook
The modest overall increase in the sports budget, despite major international events on the horizon, suggests a cautious fiscal approach. The emphasis on sports goods manufacturing could spur economic growth and job creation in the sector. However, the cuts to anti-doping agencies raise concerns about India's commitment to clean sports, especially with high-profile games approaching.
As India prepares for the Commonwealth and Asian Games, stakeholders will closely monitor how these funds are utilized to ensure optimal performance and infrastructure development. The budget's focus on manufacturing hubs may pave the way for long-term sustainability in the sports industry.