Himachal CM presents ₹58,514-cr budget, focus on boosting tourism, agriculture, jobs
Amid financial challenges, chief minister Sukhvinder Singh Sukhu says debt liability of state has risen to ₹1,04,729 crore; increases milk prices by ₹6/litre.
Himachal Pradesh chief minister Sukhvinder Singh Sukhu on Monday presented a ₹58,514-crore budget for 2025-26, focusing on rural infrastructure development and green energy in the hill state.
Reading out his third annual budget, Sukhu, who also holds the finance portfolio, said 2025-26 was full of financial challenges for the state as its revenue deficit grant has been reduced and GST compensation stopped. “The revenue deficit grant (RDG) has come down to ₹3,257 crore in 2025-26 from ₹62,58 crore last year, which will compound our problems,” he said, adding that the state is awaiting the release of ₹9,000 crore post disaster need assessment (PDNA) relief for damages suffered in the 2023 monsoon.
He said the debt liability of the state has risen to ₹1,04,729 crore of which ₹29,046 lakh has been taken by his government. He said 70% of the loan taken in the past two years had been spent on repayment of loan taken by the previous BJP government and its interest component.
He announced a hike of ₹6 in the minimum support price of cow milk from ₹45 to ₹51 a litre and buffalo milk from ₹55 to ₹61 a litre.
Sukhu said that a target has been set to bring one lakh more farmers under natural farming in 2025-26. So far, 1.58 lakh farmers have taken to natural farming in the state. Farmers growing kachi haldi (raw turmeric) would get a minimum support price of ₹90 a kg, he said, adding the state government plans to set up a spice park in Hamirpur.
Daily wages of workers engaged in the Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA) would be increased from ₹300 to ₹320 a day, the CM announced.
To combat drug abuse in the state, he announced the constitution of a special task force (STF).
He said his government’s focus would be on promoting religious tourism and exploring lesser-known destinations, including developing tea estates as eco-tourism sites.
He said 500 electric buses would be purchased in 2025-26 and the Shimla ropeway project would be started in the next fiscal.
He announced schemes for agriculturists, women, disabled and children and said that separate directorates for school and colleges would be constituted.
