Nagaland chief minister Neiphiu Rio on Friday expressed appreciation for the constructive participation of legislators during the general discussion on the State Budget 2026–27 in the Nagaland Legislative Assembly.
In his concluding remarks, Rio acknowledged the valuable suggestions made by members, particularly Hekani Jakhalu Kense, A. Pangjung Jamir, Dr. Kekhrielhoulie Yhome, Dr. Neisatuo Mero, Tongpang Ozukum, K.T. Sukhalu, and Achumbemo Kikon.
He also appreciated those who did not participate due to time constraints but followed the deliberations. Rio noted that the depth of the discussion reflected a collective commitment to the welfare and progress of the state. The chief minister stated that observations and recommendations of members would guide the government in refining policies and strengthening implementation.
Responding to specific concerns raised during the debate, Rio assured that observations and recommendations from members would guide the government in refining policies and improving implementation.
On women-centric initiatives and gender-responsive budgeting raised by Hekani Jakhalu Kense, he said ensuring accountability and measurable outcomes in public expenditure remains a shared responsibility.
Regarding sports development raised by A. Pangjung Jamir, Rio informed that the Chief Minister’s Sports Advancement Initiative would be expanded to include more disciplines based on athletes’ performance. He also acknowledged the need to upgrade old government buildings, including in Tuli, but cited financial constraints and said the state has sought central support.
Referring to observations by Dr. Kekhrielhoulie Yhome and Achumbemo Kikon, Rio reiterated that Nagaland’s formation under the historic 16-Point Agreement carried with it long-term fiscal commitments from the Centre. He said that despite these commitments remaining largely unfulfilled over the decades, the State government had undertaken calibrated fiscal consolidation efforts to enhance its own resources, stabilise expenditure and contain the fiscal deficit.
On concerns raised by Dr. Neisatuo Mero regarding NH-29 Package-II (Kohima–Jessami road), he said the project has faced delays due to contractor issues. With a new contractor appointed in January 2024, Rio said physical progress has reached 40.45% and financial progress 37.07%.
Regarding the Trans-Nagaland Highway (Foothills Road) raised by Tongpang Ozukum and Achumbemo Kikon, the chief minister disclosed that the state has already spent Rs.245.50 crore on the project, estimated at Rs.9,180 crore.
He said central funding was being pursued, subject to providing a 30-metre right of way, and discussions with stakeholders were ongoing.
Responding to concerns raised by K.T. Sukhalu regarding irregular government appointments, Rio highlighted administrative reforms such as PIMS and e-Pay Bill systems, which have helped reduce government employees from 1,11,805 in 2017–18 to 1,03,793 in 2024–25 (a 7% reduction).
The chief minister said that no irregular appointments were currently recorded.
On substance abuse, he informed that 157 NDPS cases were registered and 260 arrests made in 2025. He highlighted the launch of the Nagaland Community Wellbeing Initiative to address psychological factors among youth.
Regarding the NLTP Act, Rio said the government was examining the matter in a balanced and consultative manner, considering enforcement challenges and concerns over illicit activities.
On oil and natural gas exploration, Rio recalled that activities by Oil and Natural Gas Corporation in Champang had been halted in 1994 due to contentious issues. He outlined subsequent developments, including the framing of the Nagaland Petroleum and Natural Gas Rules and Regulations, 2012, and later discussions with the Centre. He said unresolved issues, including royalty rates and downstream infrastructure, were under consideration, and he had recently urged the Union Minister for Petroleum and Natural Gas to expedite resolution.
He also announced the setting up of a Revenue and Development Fund Mobilisation Cell and a Committee on Expenditure Rationalisation and Revenue Mobilisation, to be chaired by him.
On urban local bodies, he acknowledged concerns raised by Achumbemo Kikon and stressed the importance of strengthening their performance, particularly in view of conditions linked to grants recommended by the 16th Finance Commission. He said capacity-building efforts and financial support, including tax devolution and grants-in-aid, were being extended.
Responding to demands for increased allocation to border areas, Rio clarified that while Rs.15 crore had been earmarked in the previous Budget, the current allocation aimed at equitable distribution across sectors.
Describing the budget as a roadmap towards “Developed Nagaland 2047” aligned with the national vision of Viksit Bharat@2047, Rio said it was grounded in fiscal responsibility amid constrained resources, including the absence of revenue deficit grants under the current Finance Commission cycle. He emphasised prioritisation of essential services alongside growth-oriented investments.
He stated that the government’s focus would remain on strengthening human capital, expanding livelihood opportunities, investing in infrastructure and deepening financial inclusion, with special emphasis on youth skilling, women-led development and community-driven institutions.
Rio added that the integration of SDG-linked and gender-responsive budgeting reflected a commitment to measurable and inclusive outcomes.
The chief minister said the Budget marked a transition towards a more resilient fiscal framework centred on efficiency, transparency and accountability, and assured that implementation would be time-bound and impact-driven through inter-departmental convergence.
Reaffirming the government’s commitment to balanced and equitable development across all districts, he commended the Budget 2026–27 to the House for consideration and passage.
Legislators hail inclusive Budget
Members of the Nagaland Legislative Assembly on Friday initiated discussion on the State Budget 2026–27, describing it as inclusive and forward-looking while flagging sectoral concerns and suggestions.
Advisor for Industries and Commerce Hekani Jakhalu, initiating the discussion, thanked chief minister Neiphiu Rio for enhancing LADP and said the Budget marked a shift towards a women-led development framework aligned with SDGs. She highlighted 17 new initiatives, including the Innovation Seed Fund for 1,000 women entrepreneurs, crèches in government offices and Pink Scooty Taxis, while also underlining support for weavers through market formalisation and GI tagging.
Advisor for Fisheries A. Pangjung Jamir termed the Budget a roadmap for a developed Nagaland, welcomed water resilience and solar initiatives, and lauded skill development programmes such as NAPEx and STEM incentives. He stressed boosting fish production, tapping agar potential, and called for a new office at Tuli and completion of the Foothill Road.
Advisor for School Education Kekhrielhoulie Yhome highlighted improvements in fiscal indicators, including increased State tax revenue and reduced debt servicing, despite earlier financial constraints. He noted substantial spending in education over the past five years, while pointing out low capital investment under the State Plan and emphasising fiscal prudence.
Neisatuo Mero, MLA supported the Budget as pragmatic and people-oriented, welcomed the shift to women-led initiatives, and stressed the importance of agriculture, calling for improved road connectivity, particularly completion of NH-29 (Kohima–Pfutsero) before the monsoon.
Advisor for Water Resources Tongpang Ozukum appreciated the Budget and the government’s role in the FNTA agreement, said over Rs 200 crore had already been spent on the Foothill Road, and sought central support. He also raised concerns over recruitment of language teachers and police for Chang and Mon communities in Mokokchung, and thanked the government for enhanced LADP and allocation to underdeveloped areas.
Advisor for Food & Civil Supplies K. T. Sukhalu commended the government’s approach despite fiscal stress, called for action against illegal appointments and awareness on service payments, and urged steps on oil exploration. He also sought a review of the NLTP Act, stating it had failed in its objectives and hindered regulation.
NPF legislator Achumbemo Kikon, while supporting the Budget, raised concerns over the FNTA, stating legislative powers could not be delegated due to constitutional constraints and sought clarity on its financial package. He stressed that the Naga political issue must be resolved at the highest level, expressed concern over the State’s financial position, and called for improvements in sanitation, sports development, border affairs and completion of the Foothill Road.