Delhi’s government on Tuesday announced its budget for the fiscal year 2026-27, amounting to INR 1,03,700 crore. Chief Minister Rekha Gupta’s second budget underscores key priorities such as education, healthcare, infrastructure, urban development, water, and environmental sustainability.
Major initiatives include offering free diagnostic tests for newborns through the new ANMOL scheme, providing two free LPG cylinders during festivals, and distributing bicycles to 1.3 lakh Class IX girls. Additionally, the government will supply laptops to meritorious students and launch a registration portal for the ‘Mahila Samriddhi Yojna,’ which will allocate INR 5,110 crore to provide eligible women with INR 2,500 monthly. A new semiconductor policy and an emergency operation centre for disaster management were also announced to bolster the city’s resilience.
The budget reflects a 3.7% increase over the previous allocation of INR 1,00,000 crore. Delhi will generate INR 74,000 crore from its own tax revenue, secure INR 16,700 crore through market borrowing via the RBI—marking the first time the city will source funds this way—and receive INR 2,500 crore as an interest-free loan from the Centre under the SASCI scheme.
Education remains the top priority, with an allocation of INR 19,326 crore, constituting 18% of the total budget. Other prominent sectors include health (INR 13,034 crore), transport (INR 12,613 crore), urban development (INR 11,572 crore), social welfare (INR 10,537 crore), and water supply (INR 9,000 crore). Infrastructure investments encompass INR 5,921 crore for the Public Works Department, INR 1,352 crore for dust-free roads and resurfacing 750 km of city roads, and over INR 8,700 crore allocated for urban development projects.
To enhance educational access, the government will fund transportation for schoolchildren, along with INR 90 crore for bicycles for 1.3 lakh girls. Merit-based initiatives include laptops for high-performing Class 10 students, INR 150 crore for smart classrooms, and the establishment of an Integrated Education Hub in Narela. Youth talent programs will receive INR 10 crore, and a new Sainik School is planned for Delhi.
Welfare schemes are also prioritized, with INR 3,500 crore allocated for power subsidies, INR 450 crore for free bus travel for women, and INR 260 crore to provide free LPG cylinders during festivals for ration card holders.
Described as a “green budget,” nearly 21% of the expenditure is dedicated to environmentally sustainable initiatives. Infrastructure for power includes INR 3,942 crore, with INR 200 crore allocated to underground power lines. Urban and regional development projects feature INR 300 crore for the trans-Yamuna area and INR 787 crore for the Delhi Gram Vikas Board. Water and sewage management will receive INR 9,000 crore, managed through the Delhi Jal Board.
Chief Minister Rekha Gupta highlighted that 70.3% of the budget is allocated to revenue expenditure, with the remaining 29.7% dedicated to capital projects—higher than last year’s capital outlay. She projected a tax-to-GSDP ratio of 5.09% for 2026-27 and a revenue surplus of INR 9,092 crore. She emphasized Delhi’s resilience and economic growth, asserting that the city is progressing at “triple-engine speed” and witnessing visible improvements in residents’ lives.
The budget presentation was marked by political tension, with AAP MLAs staging a protest with a ‘bier’ alleging a “murder” of democracy by the BJP. Additionally, the assembly received a bomb threat hours before the session, though police reported no suspicious findings so far.
