Odisha Budget 2025–26: And What Would be the Budget of 2026-27?
The Hon’ble Chief Minister of Mohan Charan Majhi presented the Annual Budget Estimates for FY 2025–26 on 17th February 2025 in the Odisha Legislative Assembly, unveiling a progressive and development-oriented financial roadmap for the State. With a total outlay of ₹2,90,000 crore, the budget reflects Odisha’s commitment to accelerated growth, fiscal discipline, and inclusive development.
Odisha Budget 2025–26: And What Would be the Budget of 2026-27?
CNB World Times
Bhubaneswar, 20th February, 2026: The Hon’ble Chief Minister of Mohan Charan Majhi presented the Annual Budget Estimates for FY 2025–26 on 17th February 2025 in the Odisha Legislative Assembly, unveiling a progressive and development-oriented financial roadmap for the State. With a total outlay of ₹2,90,000 crore, the budget reflects Odisha’s commitment to accelerated growth, fiscal discipline, and inclusive development.
A Strong Focus on Transformative Sectors
|
(Rs. in crore) |
|||
|
Sl. No |
Item |
Item 2024-25 RE |
2025-26 BE |
|
1 |
Administrative Expenditure |
97,725 |
1,08,000 |
|
2 |
Programme Expenditure |
1,55,000 |
1,70,000 |
|
3 |
Disaster Risk Management Fund |
3,900 |
4,000 |
|
4 |
Transfers from the State |
8,375 |
8,000 |
|
|
Total |
2,65,000 |
2,90,000 |
The Budget 2025–26 places special emphasis on transformative sectors that are expected to drive long-term economic expansion. Priority areas include:
· Infrastructure development
· Urban development
· Agriculture and irrigation
· Capital investment
· Port-led development
· Industrialization
· Sports for all
This strategic sectoral thrust underscores the government’s vision of building a robust, resilient, and future-ready Odisha.
Programme Expenditure: Driving Development
A significant highlight of the budget is the allocation of ₹1,70,000 crore towards Programme Expenditure, which constitutes more than 58.62% of the total budget size. This substantial commitment reflects the State’s focus on welfare schemes, development programmes, and service delivery mechanisms aimed at improving the quality of life for its citizens.
Capital Outlay: Highest Among Major States
The capital outlay for FY 2025–26 stands at ₹65,012 crore, accounting for 6.11% of the Gross State Domestic Product (GSDP). Notably, the proportion of capital expenditure to the total budget is the highest among all major States in the country. This strong capital push is expected to enhance infrastructure capacity, stimulate economic activity, and generate employment opportunities across sectors.
Agriculture and Allied Sector: A Priority Area
Recognizing the backbone role of agriculture in Odisha’s economy, the government has allocated ₹37,838 crore to the Agriculture and Allied sector — marking an increase of approximately 12% over the previous year. The enhanced allocation is expected to strengthen irrigation networks, boost farm productivity, and improve farmers’ incomes, thereby ensuring rural prosperity.
Fiscal Prudence and Stability
The budget reflects a balanced and disciplined fiscal approach:
· Revenue Surplus is projected at 3% of GSDP.
· Fiscal Deficit is estimated at 3.2% of GSDP.
· Year-end debt stock is projected to remain at 12.7% of GSDP.
Importantly, the Annual Budget 2025–26 remains fully compliant with the Fiscal Responsibility and Budget Management (FRBM) framework, demonstrating Odisha’s commitment to sound financial management and long-term sustainability.
The Odisha Budget 2025–26 presents a forward-looking and growth-centric financial blueprint. By combining high capital investment with strong programme expenditure and strict fiscal discipline, the State has positioned itself on a path of sustained economic progress. With transformative sectoral investments and responsible fiscal management, Odisha is poised to strengthen its development trajectory in the coming year.
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