Himachal Pradesh Budget 2025: CM Sukhu presents Rs 58,514-crore budget with focus on agrarian development, rural economy

Sukhu, who also holds the finance portfolio, stated, “Our focus is to strengthen the rural economy. Over the years, we have observed that many people are leaving agriculture. Our sole aim is to promote the rural economy through natural farming. That is why we launched MSPs last year and increased them this year, keeping the farmers’ interests in mind.”

Sukhu also announced a 3 per cent increase in DA for government employees and confirmed the clearance of pending arrears for pensioners aged 70 and above. He announced an increase of Rs 1,000 to Rs 500 in the salaries of civic body representatives, including the mayors, deputy mayors, councillors, gram panchayats pradhans, vice pradhans, and panchayat members.

The tax-free budget for 2025-26 has seen a slight increase of Rs 70 crore compared to the previous financial year’s budget of Rs 58,444 crore. The budget projects a revenue deficit of Rs 6,390 crore, which is higher than last year’s deficit of Rs 4,514 crore. Sukhu informed the Assembly that for the year 2025-26, the estimated revenue receipts are projected to be Rs 42,343 crore, while the total revenue expenditure is expected to reach Rs 48,733 crore. The fiscal deficit budget estimate is also projected to be Rs 10,338 crore, which constitutes 4.04 per cent of the gross state domestic product (GSDP).

CM Sukhu told the Assembly, “As per the budget for 2025-26, out of every Rs 100 spent, Rs 25 will be allocated to salaries, Rs 20 to pensions, Rs 12 to interest payments, Rs 10 to debt repayments, Rs 9 to grants for autonomous institutions, while the remaining Rs 24 will be spent on other activities, including capital works.”

Meanwhile, under the Indira Gandhi Pyari Behna Sukh Samman Nidhi Yojana launched by the state government, eligible women between 18 and 59 are provided Rs 1,500 per month. Sukhu informed the house that in the upcoming financial year, the scheme will be implemented in phases, and eligible daughters who turn 21 years old between January 1, 2025, and March 31, 2026, will receive Rs 1,500 per month under this scheme.

Starting June 1, 2025, women working in others’ homes to support their families will benefit from this scheme. Their eligible daughters will also be entitled to receive Rs 1,500 per month. This initiative is expected to add an additional burden of Rs 200 crore to the state’s expenditure.