Shimla, March 17 — Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu on Monday presented a ₹58,514-crore budget for 2025-26, underlining rural infrastructure, green energy, and economic recovery amid financial constraints.
Reading out his third annual budget, Sukhu acknowledged the state’s financial challenges, citing a reduction in the revenue deficit grant and the halt of GST compensation. “The revenue deficit grant (RDG) has come down to ₹3,257 crore in 2025-26 from ₹6,258 crore last year, which will compound our problems,” he said, adding that the state was awaiting the release of ₹9,000 crore in post-disaster need assessment (PDNA) relief for damages from the 2023 monsoon.
He noted that Himachal’s debt burden had risen to ₹1,04,729 crore, with his government borrowing ₹29,046 crore. “Seventy percent of the loan taken in the past two years was used to repay debts and interest from the previous BJP government,” he said.
Among key announcements, Sukhu raised the minimum support price (MSP) of cow milk from ₹45 to ₹51 per litre and buffalo milk from ₹55 to ₹61 per litre. “We aim to bring one lakh more farmers under natural farming in 2025-26,” he said, noting that 1.58 lakh farmers had already adopted the practice. He also set an MSP of ₹90 per kg for raw turmeric and announced plans for a spice park in Hamirpur.
Daily wages under the Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA) will increase from ₹300 to ₹320 per day. To combat drug abuse, he announced the formation of a special task force (STF).
The government plans to boost religious tourism and promote lesser-known destinations, including developing tea estates as eco-tourism sites. Besides, 500 electric buses will be purchased in 2025-26, and the Shimla ropeway project will commence in the next fiscal year.
Sukhu also announced welfare schemes for farmers, women, disabled individuals, and children and confirmed the establishment of separate directorates for schools and colleges.
