The Delhi government has announced a ₹1 lakh crore budget for FY 2025-26. This marks a substantial increase from the previous year. The revised estimate for the prior year was ₹69,500 crore. The budget was presented by the Chief Minister and Finance Minister of Delhi, Rekha Gupta.
Under the new budget, the government will focus on development initiatives. Transparency in governance will also be a key area. The budget prioritises efficient governance practices and welfare initiatives for vulnerable people.
The Delhi government anticipates generating a large portion of its revenue from tax sources. This amount is projected to be ₹68,700 crore.
The Goods and Services Tax (GST) and Value Added Tax (VAT) are the primary contributors. These are expected to generate ₹49,000 crore, accounting for 71% of the tax revenue.
Stamps and registration fees are another significant source. They are expected to contribute ₹9,000 crore, or 13%. State excise duties are projected to bring in ₹7,000 crore, representing 10%. Taxes on motor vehicles are estimated to contribute ₹3,700 crore, making up 6%.
Non-tax revenue will also contribute to the budget. Grants from the central government are expected as well. Capital receipts and borrowing will cover the remaining budgetary needs.
The government has doubled the capital expenditure. It now stands at ₹28,000 crore. This increased spending will fund projects like roads. A major portion of the budget is allocated towards infrastructure development. Transport projects and social welfare programs are also key areas of focus.
Improvements to sewer systems are also in the existing pipeline of projects. Water supply and sanitation have been allocated 9%, ₹9,000 crore. Agriculture and rural development have received 2%, which is ₹2,000 crore.
The education sector has been allocated 19% of the budget. This amounts to ₹19,251 crore. Transport and roads receive 12%, totaling ₹12,195 crore. The health sector is allocated 12%, which is ₹12,143 crore. Housing and urban development receive 9%, amounting to ₹9,000 crore.
Social welfare programs receive 8%, totaling ₹8,000 crore. The energy sector is allocated 4%, amounting to ₹4,000 crore. Interest payments and debt servicing account for 2%, totaling ₹2,085 crore.
Women’s welfare is a significant focus area in the budget. ₹5,100 crore has been allocated under the Mahila Samridhi Yojana. This scheme aims to provide a monthly stipend of ₹2,500. This will be beneficial for women aged 18 and above.
Transport and connectivity projects have also received substantial funding. ₹2,929 crore has been set aside for completing three priority corridors. Additional routes under Phase IV of Delhi Metro’s expansion are also included. Urban transport projects have been allocated ₹1,000 crore. This funding is for centrally funded urban mobility schemes.
Maternal health initiatives have also received considerable priority. ₹210 crore has been allocated under the Mukhyamantri Matru Vandana Yojana. This will provide financial assistance of up to ₹21,000. Six nutrition kits will also be provided to one lakh women.
Ensuring affordable food access is another key goal. ₹100 crore has been allocated for setting up 100 Atal Canteens. These canteens will be located in the JJ Clusters. They will offer nutritious meals at ₹5 per meal.
Improvements to shelter homes are also being planned. ₹696 crore has been earmarked for the Delhi Urban Shelter Improvement Board. This funding will be used to improve slum areas and JJ colonies.
Enhancing safety and surveillance is a priority. The installation of 50,000 new CCTV cameras is planned. This measure aims to improve women’s security in the city.
Environmental reforms are also addressed in the budget. ₹300 crore has been set aside for pollution control measures. Funding for emergency environmental measures is also included. The Yamuna cleaning project has been allocated ₹500 crore.
This will fund the building of 40 decentralised sewage treatment plants. The aim is to prevent direct discharge of waste into the river. Flood management initiatives are also included. ₹150 crore has been allocated for drain remodelling. This will improve flood control mechanisms in the city.
Delhi’s record-breaking budget prioritizes development and social welfare. Key areas of investment include infrastructure and social programs. The government emphasizes transparency and efficient governance in its fiscal plan.
Disclaimer: This blog has been written exclusively for educational purposes. The securities mentioned are only examples and not recommendations. This does not constitute a personal recommendation/investment advice. It does not aim to influence any individual or entity to make investment decisions. Recipients should conduct their own research and assessments to form an independent opinion about investment decisions.
Published on: Mar 26, 2025, 12:48 PM IST
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