Uttar Pradesh
Uttar Pradesh Budget 2026-27
- 11 Feb 2026
- 5 min read
Why in News?
On 11th February, 2026, Finance Minister Suresh Kumar Khanna presented the Uttar Pradesh State Budget for the financial year 2026-27. The budget serves as a strategic roadmap to transform Uttar Pradesh into a USD 1 trillion economy by 2029.
Key Points:
- Total Budget Estimate for 2026-27: ₹9,12,696.35 crore — an increase of about 12.2–12.9% over the previous year’s budget.
- Capital Expenditure: A significant shift is noted toward asset creation, with Capital Expenditure pegged at 19.5% of the total outlay (~₹1.78 lakh crore) to strengthen long-term economic growth.
- Revenue Expenditure: Primarily covers administrative costs, salaries, and interest payments.
- For 2026-27, it is estimated at approximately ₹5.83 lakh crore.
- Fiscal Deficit Cap: 3% of GSDP, aligned with 16th Finance Commission recommendations and effective until 2030-31.
- Debt-to-GSDP Target: The state aims to reduce the debt ratio to ~23.1 % by the end of the fiscal year, reflecting a focus on fiscal sustainability.
- GSDP: Estimated ₹30.25 lakh crore with 13.4% growth.
- Per Capita Income: Grew from ₹54,564 (2016-17) to ₹1,09,844, expected to reach ~₹1,20,000 in 2025-26.
- Poverty & Employment: Nearly 6 crore people lifted out of multidimensional poverty; unemployment at 2.24%.
- These figures underscore the state’s rapid economic expansion and development trajectory.
- Infrastructure (25% of total outlay):
- Northeast Corridor: ₹34,000 crore for a high-speed corridor connecting Gorakhpur to Saharanpur.
- Jewar International Airport: Expansion to five runways to boost global connectivity.
- Expressways: Continued funding for the Ganga and Bundelkhand expressways to integrate backward regions.
- Education & Youth Empowerment (12.4%):
- Swami Vivekananda Youth Empowerment Scheme: Distribution of 5 million tablets/smartphones.
- CM Youth Entrepreneur Scheme: Interest-free loans up to ₹5 lakh for young entrepreneurs.
- New Universities: Three new universities and 16 new medical colleges announced.
- Agriculture & Farmer Prosperity (9-12%):
- Irrigation: Continued provision for free electricity for private tube wells.
- Sugarcane: Sugarcane prices for 2025-26 raised by ₹30 per quintal, adding ₹3,000 crore to farmer income.
- Women's Welfare & Social Security:
- Kanya Sumangala Yojana: Benefiting over 26.81 lakh girls; grant for daughter's marriage increased from ₹50,000 to ₹1 lakh.
- Safe City Projects: Expansion of CCTV networks and anti-Romeo squads.
- The budget includes ₹400 crore allocation for a dedicated scooter scheme for school and working women to enhance mobility and participation.
- Establishment of special skill development centres to uplift women economically.
- Support for Families & Minorities:
- ₹150 crore provision for marriage assistance to poor families’ daughters (part of social safety nets).
- Social welfare focus aligned with broader inclusive development goals.
- Industrial & Technological Leadership
- Manufacturing Hub: UP now produces 65% of India's total mobile phones and houses 55% of the country's electronics component units.
- Employment Mission: Creation of the Uttar Pradesh Employment Mission to expand both domestic and overseas job opportunities for 10 lakh youth.
- Energy Transition: Total solar power projects installed reached 2,815 MW, with thermal capacity increasing by over 55% since 2016.
