M’laya CM presents Rs. 2,672 cr deficit budget

Meghalaya Chief Minister Conrad Sangma presented the state budget for the financial year 2026–27, projecting a fiscal deficit of Rs.2,672 crore, which amounts to about 3.5 percent of the Gross State Domestic Product. This marks an increase of Rs.702 crore compared to the previous year’s deficit of Rs.1,970 crore. Sangma, who also holds the finance portfolio, informed the Assembly that excluding borrowings of Rs.5,379 crore, the total receipts are estimated at Rs.26,621 crore, while excluding loan repayments of Rs.2,731 crore, the total expenditure is pegged at Rs.29,293 crore, resulting in the deficit figure.
Alongside the main budget, Sangma introduced specialized allocations under the Climate, Youth, Gender, and Sustainable Development Goals budgets. The Climate Budget stands at Rs.5,572 crore, reflecting a modest 2.8 percent rise, while the Youth Budget has seen a sharp 45 percent increase to Rs.4,824 crore. The Gender Budget has been raised to Rs.6,849 crore, a 10 percent increase. These allocations, Sangma noted, are aligned with Meghalaya’s Vision 2032, which aspires to place the state among the top ten in per capita income and SDG achievement. This vision is anchored in the “Mission 10” framework, focusing on ten opportunity sectors to drive growth and employment, alongside commitments to inclusivity.
The Chief Minister highlighted that capital expenditure has risen 4.4 times from Rs.1,435 crore in 2017–18 to Rs.6,395 crore in 2024–25, enabled by improved central tax devolutions and strategic funding sources such as SASCI, Externally Aided Projects, and Centrally Sponsored Schemes. Meghalaya has emerged as a strong performer under SASCI, a 50-year interest-free facility, with grants ofRs.2,370 crore in 2024–25 and Rs.2,695 crore projected for 2025–26. The state is also implementing Rs.12,166 crore worth of Externally Aided Projects under a 90:10 funding model, while CSS releases have more than doubled since 2017–18, accelerating flagship schemes like Jal Jeevan Mission and PMAY.
Sectoral allocations include ₹3,347 crore for education, ₹2,472 crore for health and family welfare, and ₹1,982 crore for new road infrastructure, with an additional ₹492 crore for road maintenance, marking a 19 percent increase. Sangma also pointed to achievements such as a 58 percent reduction in maternal mortality, a drop in infant mortality from 37.1 to 23.7 since 2020, streamlined salary and pension payments, and a turnaround in the power sector with AT&C losses reduced to 10.8 percent and load shedding eliminated.
Concluding his speech, Sangma emphasized that Meghalaya is experiencing peace and stability, enabling steady progress toward Vision 2032. With six years remaining to achieve this vision, he called for consolidation and acceleration, expressing gratitude to the people for their trust and pledging to make Meghalaya “truly magnificent.”