As debates continue over the economic impact of government-provided freebies in the country, Jharkhand's budget estimates for such welfare initiatives in the fiscal year 2025-26 surpass allocations for key sectors like Health, Education, and Rural Development.
Finance Minister Radha Krishna Kishore presented the State’s annual budget of Rs 1,45,400 crore for FY 2025-26 in the Jharkhand Assembly on Monday, reflecting a 13% increase compared to that of the previous year.
A substantial portion of the budget has been earmarked for welfare programs, particularly the "Jharkhand Mukhyamantri Maiyan Samman Yojana" (JMMSY) and the free electricity scheme. The Maiyan Samman Yojana, a flagship initiative of the Hemant Soren-led government providing Rs 2,500 per month to women aged 18-49, has been allocated Rs 13,363.35 crore—the highest share of any single program. Meanwhile, Rs 5,005.9 crore has been designated for the free electricity scheme.
In terms of percentages, JMMSY accounts for 9.19% of the total budget, while free electricity takes up 3.44 per cent, bringing their combined allocation to 12.63 per cent. Comparatively, crucial development departments have received lower allocations. The Rural Development Department has been allotted 11.39 per cent of the budget, Health and Drinking Water 8.38 per cent, Agriculture and Allied Sectors (including Water Resources) 4.71 per cent, and Roads and Transport 4.27 per cent. Additionally, Police and Disaster Management have been allocated 6.82 per cent, and the combined budget for Land Revenue, Labour, Tourism, IT, and other departments stands at 6.82 per cent.
While presenting the budget, Kishore emphasised that it focuses on social welfare, infrastructure, and economic growth. He projected the state’s economy to grow at a rate of 7.5 per cent in FY 2025-26.
"For 24 years, the focus has been on infrastructure, but this time, our government is prioritizing the social sector," said Kishore. He highlighted the commitment to women’s empowerment, stating that the scheme would provide financial assistance to support their independence and overall development.
The fiscal deficit for the upcoming financial year is estimated at Rs 11,253 crore. Kishore further stated that Rs 62,844 crore has been allocated to the social sector, with Rs 13,363 crore dedicated specifically to the Maiyan Samman Yojana. "This budget is designed to meet the aspirations of all sections of society, including the poor, farmers, tribals, and women," he added.
Before tabling the budget in the Assembly, Kishore met Governor Santosh Kumar Gangwar at Raj Bhavan and handed over a copy of the financial document for FY 2025-26.
Notably, the previous budget presented by the JMM-led coalition government for FY 2024-25 stood at Rs 1.28 lakh crore.
Reacting to the budget Chief Minister Hemant Soren said, “Today, the budget of the Abua government is being dedicated to the people with the aspirations of the people and the resolve for the sustainable development of young Jharkhand. This budget is the roadmap for the overall development of Jharkhand.”
