In a landmark move, Uttar Pradesh Finance Minister Suresh Kumar Khanna unveiled the state’s largest-ever budget of ₹9,12,696.35 crore for the financial year 2026-27 in the legislative assembly on Wednesday. Titled ‘Nine Years of New Construction,’ this budget marks a staggering 12.9% increase from the previous year’s allocation, underscoring the Yogi government’s robust economic strategy.
Khanna highlighted that this massive outlay reflects UP’s surging economic prowess, investor-friendly policies, and disciplined fiscal management. It’s not just about numbers; it’s a blueprint for long-term stability and inclusive growth, balancing development, fiscal prudence, and future readiness. Every segment of society—from farmers and youth to women and students—receives focused attention.
Capital expenditure gets a hefty 19.5% slice, fueling infrastructure in roads, energy, urban-rural development, and industry. This push is set to generate jobs and invigorate economic activities. Social sectors shine too: 12.4% for education, 6% for health, and 9% for agriculture, signaling human capital and farmer prosperity as core priorities.
Fiscal deficit is capped at 3% per the 16th Finance Commission’s guidelines, with an estimated ₹1,18,480.59 crore for 2026-27—2.98% of GSDP—demonstrating unwavering commitment to discipline. New schemes worth ₹43,565.33 crore target infrastructure and social strengthening.
Agriculture steals the spotlight with ₹637.84 crore for converting diesel pumps to solar, slashing costs and promoting green energy. For International Women Farmers’ Year 2026, ₹150 crore revolving fund for FPOs via NABARD, UP Agri export hubs with ₹245 crore, and more storage capacity underline farmer empowerment.
Women and education benefit immensely: ₹300 crore for free sanitary napkins in schools, cashless health for educators (₹357.84 crore), AI certification reimbursements (₹10 crore), and interest subsidies for meritorious students. Sanitation workers get direct ₹16,000-20,000 monthly transfers.
Industrial thrust includes ₹575 crore for Sardar Vallabhbhai Patel Employment Zone, ‘One District One Product’ with ₹75 crore, International Film City, UP AI Mission (₹225 crore over three years), and data centers. Women’s economic upliftment features ₹200 crore for credit cards and ₹100 crore for marketing their products at key locations.
From reducing debt-GSDP ratio to 23.1% and aiming below 20%, to revenue receipts of ₹7,28,928.12 crore dominated by own taxes, UP is marching towards self-reliance. With revenue surplus of ₹64,457.57 crore, this budget positions the state as India’s growth engine.