“Punjab Budget 2025-26: Key Highlights – Growth-Driven, Fiscally Prudent, and Major Boost to Key Sectors!”
The Punjab government has unveiled its Budget for the financial year 2025-26, focusing on balanced economic growth, fiscal discipline, and key sectoral investments. With a total expenditure of ₹2,36,080 crore, the budget emphasizes infrastructure development, education, healthcare, and social welfare while ensuring a controlled fiscal deficit at 3.84% of GSDP. Notably, the state’s own tax and non-tax revenue is projected to grow by 10%, reflecting a positive economic outlook. Significant allocations have been made to education, agriculture, home affairs, and infrastructure, reinforcing the government’s commitment to sustainable development and public welfare.
- Total Budget Expenditure- Rs. 2,36,080 crore for FY 2025-26
- Estimates of Total Revenue Receipts – Rs. 1,11,740 crore for FY 2025-26 (increase of 8%)
- Estimates of State’s Own Tax and Non-Tax Receipts- Rs. 75,461 crore i.e. an increase of 10% over FY 2024-25
- Estimates of Revenue Expenditure – Rs. 1,35,698 crore which (a minimalist growth of 2.5% over RE)
- Effective Capital Expenditure– Rs. 11,907 crore an increase of 28% over RE and 42% over 2024-25 BE
- Effective Revenue Deficit- Rs. 22,352 crore i.e. 2.51% of GSDP and a decrease of 19% over RE
- Fiscal Deficit- Rs. 34,201 crore i.e. 3.84% of GSDP – well within the range of permissible limits and has decreased from 4.54% estimated in RE
- GSDP at current prices has been pegged to grow at 10% in FY 2025-26.
BUDGET ALLOCATION TO MAJOR SECTORS
| Sectoral Allocations | FY 2024-25 (BE) | FY 2024-25 (RE) | FY 2025-26 (BE) | % Inc./Dec. over BE 2024-25 | % Inc./Dec. over RE 2024-25 |
| Education (School and Higher Education) | 16,987 | 16,812 | 17,975 | 6% | 7% |
| Agriculture & Allied activities | 13,784 | 14,198 | 14,524 | 5% | 2% |
| Home Affairs, Jails, Law and Justice | 10,635 | 10,773 | 11,560 | 9% | 7% |
| Social Security, Women & Child Development, Social Justice | 9,388 | 9,169 | 9,340 | – | – |
| Health and Family Welfare | 5,264 | 5,076 | 5,598 | 6% | 10% |
| Industries & Commerce | 3,367 | 3,452 | 3,426 | 2% | – |
| Revenue, Rehabilitation and Disaster Management | 1,573 | 1,734 | 1,715 | 9% | – |
| Medical Education and Research | 1,133 | 1,052 | 1,336 | 18% | 27% |
| Sports and Youth Services | 272 | 215 | 979 | 260% | 355% |
| Technical Education and Industrial Training | 525 | 474 | 579 | 10% | 22% |
| Infrastructure* | 24,283 | 30,021 | 26,239 | 8% | – |
| * includes- Department of Water Resources; Local Government; Power; Public Works; Rural Development and Panchayats; Transport; Housing and Urban Development; Water Supply and Sanitation | |||||
Revised Estimates – Revised Estimates are estimates prepared taking into account the trend of expenditure during the current year.
Budget Estimates– Budget Estimates are estimates prepared based on the trends of the previous year i.e. Revised Estimates and taking into account any other new initiative to be undertaken by the Government. A comparison of Budget Estimates of the next Financial Year is done with the Revised Estimates so as to present a correct and realistic picture.
