Arunachal Pradesh Presents Rs 36,607 Crore Budget for 2026-27, Deficit at Rs 701 Crore

Arunachal Pradesh Deputy Chief Minister Chowna Mein on Tuesday presented an Rs 701.43 crore deficit budget for the 2026-27 financial year in the state assembly, with total estimates pegged at Rs 36,607 crore — down from Rs 39,842 crore in 2025-26, reflecting a reduction of approximately 8.1 per cent.

Mein, who also holds the Finance, Planning and Investment portfolios, attributed the reduction primarily to a shortfall in central allocation following the recommendations of the 16th Finance Commission on horizontal devolution.

"Despite the shortfall, we have presented a people-centric and growth-oriented budget for the development of the state," he said.

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The budget has been structured around six major priority areas, each with dedicated allocations.

Strengthening foundations receives the second-largest allocation at Rs 2,038 crore, covering roads and connectivity, hydropower, border power infrastructure, electricity transmission and distribution, solar energy, and the state's surrender and rehabilitation policy.

People-centric development draws the largest allocation at Rs 3,320 crore, covering health infrastructure, public health, school and early childhood education, higher education, skill development, and support for girls and youth.

Sustaining economic growth gets Rs 630 crore, targeting oil palm cultivation, millet promotion, diversified high-value farming, tourism, and the wine economy.

Entrepreneurship and employment receives Rs 307 crore, focused on the Arun MSME Mission, large and medium industry promotion, skill development for working women, and startup support.

Resource mobilisation and fiscal stability is allocated Rs 188 crore, covering centrally sponsored scheme monitoring, state revenue strengthening, tax department restructuring, and exploration of carbon markets and green bonds.

Governance and reforms gets Rs 727 crore, addressing police and fire services, e-Inner Line Permit implementation, border management, and technology-driven governance.

Mein said the budget was designed to reach every segment of Arunachal Pradesh's population across health, education, livelihoods, connectivity, safety, culture, and governance.

"This budget ensures that all 16 lakh-plus people of Arunachal Pradesh benefit from one or more of the measures announced," he said.

He also stressed the importance of preserving the state's indigenous heritage alongside modern development.

"We envision an Arunachal that is modern yet rooted, globally connected yet proudly indigenous," Mein said, referencing efforts to document rare manuscripts, strengthen museums, and support cultural missions and festivals.