HP Budget to boost rural economy, revenue generation, says CM Sukhu

Shimla: As he gets ready to present his third budget in the state Assembly for the year 2025-26 on Monday, Chief Minister Sukhwinder Singh Sukhu said Himachal Pradesh was on a clear trajectory of development, financial stability and additional resource mobilisation aimed to make the state fully reliant by 2027.

Sukhu claimed the previous BJP government had “tried to push the state to financial bankruptcy and did nothing to plug-tax leakages and revenue generation. “They had ruined the state economy despite liberal funding from the Centre. Contrary to this, the Congress government, after coming to power, understood systematic reforms and mobilised an additional revenue resource of Rs 3000 crore,” he told Millennium Post.

He admitted that there have been challenges to keep the pace of development and meet people’s expectations. But, with his prudent fiscal management and innovations, the state has recovered from the “shocks given by the previous BJP government”.

His current budget of Rs 58,444 crore is likely to see an upward trend with more capital investments in the rural sector and job generations.

Sukhu said: “The budget is going to be public-centric. There is going to be a major focus in the areas of growth, power generation, agriculture, tourism and education. The areas which form the core of revenue generation including excise and taxation, mining and power, will get due attention in the budget”.

The BJP, on the other hand, has accused the government of financial mess and non-fulfilment of the poll guarantees. The state’s debt is expected to exceed Rs 1 lakh crore, said Leader of Opposition Jairam Thakur.

The state government also has a major challenge to meet liability of debt repayments and interests on the loans. The salary and pension budget is also growing every year and liabilities like DA and release of the arrears of revised wages also makes the going tough. With GST repayments on decline and Centre restricting the state’s limit to raise loans also left the Congress government to impose major cuts on the subsidies.

The Sukhu government would also introduce a new legislation with some deterrent measures to tackle drug abuse.