Chief Minister Yogi Adityanath presented a comprehensive overview of Uttar Pradesh’s state budget, detailing its economic impact and development goals.
Speaking in the Legislative Council on Wednesday, he emphasised that the budget aims to transform the state, progressing from Antyodaya to an advanced economy, from ease of living to ease of doing business, and from agriculture to the welfare of the poor. The Rs 8,08,736 crore budget is designed to empower women, promote self-reliance through education, and harness faith for economic growth.
CM Yogi also took a swipe at the opposition, questioning their understanding of economics, stating, “This is a subject beyond your comprehension.” He highlighted Uttar Pradesh’s economic growth, pointing out that in 2023-24, while India’s GDP grew by 9.6%, Uttar Pradesh’s Gross State Domestic Product (GSDP) surged by 11.6%, indicating a robust economic momentum.
The CM emphasised that the state’s budget is two and a half times larger than in 2016-17, and 10% higher than in 2024-25. This growth in the budget signifies the government’s commitment to accelerating development. He stressed that the expanded budget is not merely an increase in expenditure but a strategic investment to ensure development reaches every corner of the state.
A major focus of the budget, according to CM Yogi, is capital investment. He said that Rs 2,25,000 crore has been allocated for capital expenditure, which is crucial for speeding up development. This strategic move has already contributed to doubling the state’s per capita income since 2016-17, he added.
Addressing the opposition’s concerns about the expanding budget, CM Yogi pointed out that while expenditure has increased, the fiscal deficit has been kept under control, showcasing financial discipline. The state’s fiscal deficit remains below 3%, at 2.97% of the GSDP, even without imposing new taxes in the last eight years.
“Instead, VAT on diesel and petrol was reduced, easing the financial burden on the people,” he remarked. He also claimed that corruption has been eliminated, allowing funds to be allocated properly for development.
CM Yogi highlighted the state’s improved financial management, noting that the practice of Personal Ledger Accounts (PLAs) had been abolished. “Now, there is no shortage of funds for development,” he stated, referencing the past era when only a small fraction of funds were allocated for large schemes.
He further criticised the previous Samajwadi Party government for leaving the state in financial disarray, forcing the BJP government to spend significant resources to clean up the mess.
Transparency has been a key feature of the current administration, CM Yogi continued, with a structured process in place to ensure timely project completion.
Citing a report from NITI Aayog, he mentioned that Uttar Pradesh is ranked among the top states in financial discipline.
Despite having a population of 25 crore, Uttar Pradesh is now a revenue-surplus state, he added.
CM Yogi noted that in the past, the state struggled to attract investments, but today, banks are lining up to finance projects. This shift in perception demonstrates the state’s growing economic stature, he added, urging the opposition to apologise for their past actions that hindered the state's progress.
The CM also pointed out the state’s improving fiscal health, referencing reports from the Reserve Bank of India. Uttar Pradesh’s share in national tax collections increased from 9.9% in 2022-23 to 11.6% in 2024-25, reflecting the state’s growing economic contribution.
Highlighting the state’s digital transformation, CM Yogi stated that UP is leading in digital transactions and Direct Benefit Transfer (DBT) implementation, ensuring transparency and seamless financial assistance. He also noted the state’s success in attracting Foreign Direct Investment (FDI), further solidifying its position as an economic powerhouse.