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Maharashtra Budget: Ladki Bahin outlay cut 26 per cent to Rs 26,500 crore in FY27 after beneficiary clean-up

Allocation drops to Rs 26,500 crore after verification drive prunes beneficiary base to about 1.53 crore; Rs 2,100 payout promise yet to be implemented.

Maharashtra Budget, Ladki Bahin, Ladki Bahin scheme, Ladki Bahin outlay cut, Mukhyamantri Mazi Ladki Bahin Yojana, Ladki Bahin Yojana, Indian express news, current affairsMaharashtra Chief Minister Devendra Fadnavis along with Deputy CM Sunetra Pawar and Minister of State for Finance Ashish Jaiswal before presenting the budget in Mumbai on Friday. (Deepak Joshi)

The Maharashtra Budget on Friday reduced the allocation for the Mukhyamantri Mazi Ladki Bahin Yojana by 26% or Rs 9,500 crore to Rs 26,500 crore for 2026-27 compared with Rs 36,000 crore provided in the Budget for the current financial year, 2025-26.

For now, the Mahayuti government has also not implemented its poll promise of increasing the monthly payout under the scheme to Rs 2,100 from Rs 1,500.

According to the Budget documents, the physical target under the scheme for 2026-27 is estimated to be 1.53 crore beneficiaries, indicating a substantial pruning of the beneficiary base following a verification exercise undertaken by the government.

At the existing payout of Rs 1,500 per month, providing assistance to 1.53 crore beneficiaries for a full year would require roughly Rs 27,540 crore, broadly in line with the Rs 26,500 crore allocation proposed in the Budget for 2026-27.

At its peak, the number of beneficiaries had reached about 2.43 crore women, pushing the state’s annual financial liability to nearly Rs 43,700 crore at the current payout level.

While Rs 36,000 crore had been allocated in the 2025–26 budget, the government later sought an additional Rs 6,102 crore through supplementary demands.

The Indian Express had first reported on March 5 that the allocation for the scheme could be reduced by about Rs 9,000 crore following a drop in the number of beneficiaries after a verification exercise, and that the proposed increase in the payout was unlikely to be implemented immediately.

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The Budget documents reveal that the Rs 26,500-crore provision for 2026–27 has been distributed across three budget components of the scheme. Of this, about Rs 21,000 crore has been allocated under the general category, Rs 3,000 crore under the Scheduled Castes component, and Rs 2,500 crore under the Tribal Area Sub Plan.

Launched in July 2024, the scheme provides Rs 1,500 per month to eligible women aged 21–65 years from families with an annual income below Rs 2.5 lakh.

However, concerns over irregularities and the rising fiscal burden prompted the state government to initiate a verification drive.

“If required, the allocation can be enhanced through supplementary demands during the year. However, with the beneficiary list having been significantly pruned after the verification exercise, the need for additional funds appears unlikely,” a senior government official said.

Vallabh Ozarkar is a Senior Correspondent with The Indian Express' Mumbai bureau, recognized as an authoritative and deeply knowledgeable voice on the politics, governance, and infrastructure of Maharashtra. With more than nine years of experience in major news organizations, his reporting delivers high standards of Expertise and Trustworthiness. Expertise & Authority Current Role: Senior Correspondent, The Indian Express, Mumbai bureau. Geographical Specialization: Provides exclusive and detailed coverage of Maharashtra politics and governance, operating at the epicenter of the state's decision-making in Mumbai. Core Authority: His reporting demonstrates deep Expertise across critical and often complex state matters, including: Political Dynamics: In-depth analysis of the ruling coalition (Mahayuti) and opposition (MVA), internal party conflicts, and crucial election updates, including local body polls and municipal corporation tussles. Governance & Policy: Focused coverage on significant state policies, such as the overhaul of Mumbai's 'pagdi system' (rent control for old buildings) and social welfare schemes (e.g., Ladki Bahin Yojana accountability). Infrastructure & Development: Reports on major urban and regional infrastructure projects, including the Mumbai Water Metro, Uttan-Virar Sea Link, and Thane Metro development. Administrative Oversight: Follows legislative actions, cabinet decisions, and reports on issues of accountability and alleged fraud within state departments. Experience Current Role: His role at The Indian Express—a leading national daily—validates the credibility and standard of his reporting. Career Foundation: Prior to The Indian Express, Vallabh contributed to other major metropolitan news outlets, including the Mumbai Mirror and DNA - Daily News & Analysis, providing a solid foundation in rigorous urban and political journalism. Evidence of Impact: His work consistently breaks down complex political developments and administrative failures, such as exposing discrepancies in government welfare schemes, cementing his reputation as a trusted source for ground-level, impactful news from Maharashtra. He tweets @Ozarkarvallabh ... Read More

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