Delhi Chief Minister and Finance Minister Rekha Gupta presented the state budget for 2025-26, totaling 1 lakh crorea significant 44% increase over the previous years revised estimates. In her 138-minute speech, Gupta took multiple jabs at the former Aam Aadmi Party (AAP) government, blaming it for Delhis deteriorating infrastructure, sanitation, and public services. She declared that this budget was a crucial step toward the city’s development, aiming to revitalize Delhis economy and governance.

Revenue Sources and Major Allocations

The budget will be funded through Delhis tax revenue of 68,700 crore and non-tax revenue of 750 crore, while the central government will contribute 12,096 crore in grants. Additionally, 15,380 crore will come from loans and advances, with the remaining amount covered by the opening balance. Notably, the share of Delhis tax revenue in the total budget has declined from 77.3% last year to 69% this year.

Of the total budget, 72% has been allocated for revenue expenditure and 28% for capital expenditure. The education sector received the largest share (19.3%), followed by transport (12.95%), health (12.89%), housing and urban development (10.69%), and social welfare (10.59%). Gupta also emphasized ten priority areas, including infrastructure, healthcare, water supply, transport, social security, power, and governance.

Infrastructure, Public Transport, and Environment

The budget provides 12,952 crore for expanding public transport, with plans to add over 5,000 electric buses by 2025-26, complementing the existing fleet of 2,152 electric buses. Additionally, 3,843 crore has been earmarked for improving road and bridge infrastructure, and 1,000 crore has been allocated to enhance Delhis connectivity with the National Capital Region (NCR).

To tackle pollution and improve air and water quality, 506 crore has been set aside for environmental initiatives. The government plans to install six new air quality monitoring stations across the city to facilitate better decision-making. Gupta also announced a 100 crore pilot project to shift overhead power cables underground, improving both safety and aesthetics.

A state-level extension of the PM Surya Ghar: Free Electricity Scheme was introduced to promote solar panel installations in households, encouraging sustainable energy adoption.

Social Welfare, Womens Empowerment, and Industrial Growth

A major highlight of the budget is the 5,100 crore allocation for the Mahila Samriddhi Scheme, which will provide 2,500 in monthly allowances to economically disadvantaged women. Gupta said this initiative aims to enhance financial independence, decision-making power, and self-esteem among women.

To support businesses and economic growth, the government plans to introduce a new industrial and warehousing policy and implement a single-window clearance system to ease business operations. A Trader Welfare Board will be set up to address the concerns of business owners, and the citys first-ever Investment Summit will be held later this year to attract investors. The summit is expected to take place every two years.

Education and Healthcare Investments

Education remains a priority, with 100 crore allocated to establish 60 new CM Shri schools in line with the National Education Policy (NEP) 2020. Another 100 crore will be used to develop smart classrooms in 7,000 schools for students in grades 9 to 12. Higher education institutions, including Delhi Technical University and Guru Gobind Singh Indraprastha University, will receive 500 crore to expand their campuses, while 618 crore has been designated for technical education programs.

The healthcare sector has been allocated 6,874 crore, with a focus on setting up health and wellness centers known as Ayushman Arogya Mandirs. Gupta criticized the previous government for failing to implement the Ayushman Bharat scheme, which provides healthcare benefits nationwide. She accused the former AAP administration of prioritizing political credit over public welfare by refusing to adopt the central governments health scheme.

Political Reactions and Future Outlook

The budget received sharp criticism from Leader of the Opposition Atishi, who called it misleading and based on fake numbers. She accused the BJP-led Delhi government of presenting a wishy-washy budget and questioned why the Economic Survey was not released alongside it. Atishi argued that the surveys absence indicated an attempt to hide the true state of Delhis economy.

In response, Gupta defended the budget as a balanced approach to governance, combining innovation with infrastructure development while ensuring transparency and accountability. She claimed the budget would lay the foundation for Delhis transformation into a major hub for business, investment, and quality living.

With a significant focus on infrastructure, transport, healthcare, and education, the 2025-26 budget addresses Delhis longstanding issues while paving the way for economic growth and modernization.