Assam Finance Minister Presents Budget 2026-27; Outlines 18 Flagship Schemes and Bold Reforms

Assam Finance Minister Shri Jayanta Mallabaruah today presented the state’s Budget for the financial year 2026-2027 in the Legislative Assembly. Marking the first budget of the government’s renewed term under Chief Minister Dr. Himanta Biswa Sarma, the budget proposes an ambitious roadmap centered around the “Ashtadash Mukutar Unnoyonee Mala”—a suite of 18 flagship initiatives aiming to transform Assam into a productive, inclusive, and climate-resilient state by 2047.

The transactions for the financial year are estimated to generate a surplus of ₹3,225 crore, with total receipts under the Consolidated Fund estimated at ₹1,51,843.23 crore against an expenditure of ₹1,56,714.88 crore.

Key Takeaways and Major Announcements

• Massive Employment Drive: The government has targeted creating 2 lakh additional employment opportunities over the next five years across public sectors, universities, medical colleges, and statutory bodies.
• Strict Social Reforms via Welfare Eligibility: In a significant policy shift to encourage gender justice and responsible family values, the budget dictates that any male practicing polygamy will be barred from receiving state welfare benefits. Furthermore, rules will be amended to enable the dismissal of government servants found practicing polygamy. Convicted criminals will also be disqualified from receiving state welfare.
• Welfare Portfolios Re-shuffled: The popular Orunodoi scheme, now reaching nearly 40 lakh families, will resume payouts from August. Subsidized Masur Dal and Sugar will also be distributed to NFSA ration card holders. Notably, the distribution of free scooters under the Dr. Banikanta Kakati Merit Award will be discontinued from the next academic year to divert funds into strengthening the Nijut Moina and Nijut Babu student stipend schemes.
• Guwahati Aerotropolis & Satellite City: To foster modern urban growth, the state will fund an Aerotropolis around the Lokpriya Gopinath Bordoloi International Airport, setting aside ₹2,100 crore for land acquisition.
• Dibrugarh Named Second State Capital Region (SCR): The government officially approved the creation of the Dibrugarh SCR and a dedicated development authority, allocating ₹500 crore over the next five years for infrastructure augmentation.
• Tax Reliefs and New Green Cess: VAT on Piped Natural Gas (PNG) will be drastically reduced from 14.5% to 5%. To support small tea growers, the Agricultural Income Tax exemption limit has been increased from ₹2.5 lakh to ₹10 lakh. Conversely, a new Green Cess will be levied on polluting units like stone crushers, brick kilns, and commercial groundwater extraction.

Harnessing Energy & Infrastructure

The budget heavily emphasizes power independence, laying out an investment pipeline of ₹77,353 crore across hydro, solar, and thermal projects. This includes the trial commissioning of the 120 MW Lower Kopili Hydroelectric Project and a proposed 3,200 MW thermal power plant at Bilasipara. Additionally, ₹2,500 crore has been designated to transition Guwahati’s overhead power lines into an underground cable network.

For road connectivity, Asom Mala 4.0 will introduce another 800 km of high-quality highways over the next five years with an estimated outlay of ₹10,000 crore.

Top Departmental Budget Allocations (2026-27)

The Finance Minister proposed significant budgetary grants across various administrative departments to facilitate grassroots growth:

Department	Budget Allocation (in ₹ Crore)
School Education Department	₹18,869
Public Works Roads Department	₹10,399
Panchayat & Rural Development	₹9,171
Home & Political Department	₹7,835
Health & Family Welfare Department	₹4,635
Housing & Urban Affairs Department	₹4,413
Welfare of Bodoland Department	₹4,028
Women and Child Development	₹3,800

“Over the last decade, Assam has moved from instability to peace, from neglect to national priority, and from uncertainty to decisive development,” Finance Minister Mallabaruah remarked, concluding that the budget ensures the state remains a premier growth engine of the nation.