Rajasthan Budget 2025-26: Welfare and development take center stage despite deficit

Photo: IANS


Rajasthan Deputy Chief Minister Diya Kumari on Wednesday presented the State Budget 2025-26 in the Assembly, aiming to address the needs of all sections of society while ensuring funds for development and good governance.

Despite a revenue deficit of ₹31,009 crore and a fiscal deficit exceeding ₹84,643 crore, the Finance Minister prioritized infrastructure expansion in key sectors, including roads, water, power, urban development, and public amenities.

Delivering her second consecutive budget speech, which lasted 2 hours and 17 minutes, Diya Kumari announced several welfare measures targeting youth, women, farmers, weaker sections, and senior citizens.

Emphasizing sustainability, the Green Budget concept was introduced, with an allocation of ₹27,854 crore for environment-friendly projects in urban development, roads, energy, and agriculture.

The state government has earmarked ₹10 crore per assembly constituency for development projects, with an additional ₹5 crore for underdeveloped desert regions.

She highlighted that the Barmer crude oil refinery is set to transform western Rajasthan’s economy, with major work nearing completion and operations expected to commence by March 2025.

Further, ₹1,000 crore has been allocated to build infrastructure in eight newly created districts, strengthening administrative facilities at the district level.

The “Clean and Green Eco Cities” project will be launched in 15 cities, including Bundi, Nathdwara, Khatushyamji, Mount Abu, Bhilwara, Balotra, Bharatpur, Bikaner, Sawai Madhopur, Alwar, Jodhpur, Jaisalmer, Mandawa, Kishangarh, Bhiwadi, and Pushkar, modeled on the Smart Cities initiative. An allocation of ₹900 crore has been made for this project.

To improve urban and rural water supply, the budget includes Urban Jal Jeevan Mission launch and CM Jal Yojana extension until 2028; 2 lakh new domestic water connections under the “Har Ghar Jal” scheme; ₹425 crore allocated for rural water supply expansion; 1,000 tube wells and 1,500 hand pumps to be installed for smaller settlements; Ramjal Setu Eastern Rajasthan Canal Project to be expedited, with work worth ₹9,400 crore already underway and tenders issued for ₹12,000 crore more.

Key announcements in the energy sector include increase in free electricity from 100 to 150 units per month under the CM Free Electricity Scheme, aligned with the PM Surya Ghar Free Power Programme; free solar panels for eligible families, with community solar plants for those without rooftop space; 5 lakh domestic power connections and 50,000 farm connections to be released; and the introduction of the Rajasthan City Gas Distribution Policy, targeting 1.25 lakh new piped gas connections in urban areas.

Rajasthan’s road and metro network will be significantly expanded. ₹12,000 crore allocated for road, metro, and public transport development. 9,600 km of roads will be built and strengthened. Jaipur Metro Phase-2 (Sitapura to Ambabari-Vidhyadhar Nagar) will be launched, with a DPR for extension to Vaishali Nagar and Jagatpura in progress.

The budget prioritizes job creation. 1.25 lakh government jobs will be provided. 1.5 lakh jobs will be created in the private sector. 750 doctor and 1,500 nursing staff positions will be filled to strengthen rural healthcare. Reservation will be given to retired Agniveers in Rajasthan Police, Jails, and Forest Department, while the Rajasthan Rozgar Policy will be introduced soon.

Major initiatives for women include: Expansion of Lakhpati Didi Scheme to cover 20 lakh women; construction of 500 Pink Toilets for exclusive use by women. To support farmers, the budget includes: Kisan Samman Nidhi increased from ₹7,000 to ₹9,000; ₹25,000 crore allocated for farm loans; and bonus on wheat MSP sales increased to ₹150 per quintal.

In the Budget, ₹925 crore has been allocated for infrastructure enhancement at religious sites; ₹101 crore for state-owned temple renovations, and priest honorarium has been increased from ₹5,000 to ₹7,500, and grants for bhog offerings raised from ₹1,500 to ₹3,000 per month.
The other key announcements made in the Budget are Rajasthan Trade Promotion Policy to be launched; Rajasthan Civil Defence Act & Lok Vishwas Act to be introduced; enhanced facilities for senior citizens in the free pilgrimage scheme and healthcare services; laptops for MLAs and honorarium for Sarpanchs.