Odisha Budget 2026–27 allocates ₹3.10 lakh crore with major focus on agriculture, rural development, women empowerment, and key welfare schemes
OdishaPlus Bureau
On Friday, Odisha Chief Minister Mohan Charan Majhi unveiled a Budget of Rs 3.10 lakh crore for the fiscal year 2026-27, emphasizing agriculture, rural development, and the empowerment of women.
From the overall allocation, Rs 1,80,000 crore is designated for program expenditures, which constitutes approximately 58 percent of the total Budget estimates.
In connection with the recent incident where a youth was killed in a firing at an abandoned quarter in Odisha, five individuals were apprehended 32 minutes ago. Presenting his administration’s third Budget, Majhi indicated that the proposed administrative expenditure stands at Rs 1,14,000 crore, while the allocation for Disaster Risk Management Funds is set at Rs 5,375 crore.
The capital outlay of Rs 72,100 crore projected in the Budget represents 6.5 percent of the Gross State Domestic Product (GSDP) and 23.3 percent of the state Budget, according to the Chief Minister.
The total allocation for the agriculture sector amounts to Rs 42,492 crore, with Rs 18,957 crore earmarked for initiatives related to women and child development.
“One of the goals of our government regarding women empowerment is to ensure that every girl child completes her graduation,” he stated, while introducing a new initiative called ‘Mukhyamantri Kanya Sumangal Yojana’.
Under this scheme, a savings account of Rs 20,000 will be established in the name of girls born into economically disadvantaged families.
Upon completing their graduation, they will receive Rs 1,00,001.
Majhi also introduced another initiative titled ‘Mission PoWaR (Power, Water and Road)’, which includes a proposed budget of Rs 1,000 crore aimed at enhancing connectivity to unconnected settlements.
A Budgetary allocation of Rs 800 crore has been made for a scheme for incomplete rural piped water supply projects to ensure that every rural household in Odisha has access to a safe, reliable, and sustainable source of drinking water, the chief minister said.
He proposed to transfer Rs 3,056 crore on recommendations of the 16th Finance Commission, and around Rs 7,450 crore on recommendations of the 6th State Finance Commission, to rural and urban local bodies of Odisha.
Majhi said his government will be able to generate a revenue surplus of about 3 per cent of GSDP, and the fiscal deficit will be limited to 3.5 per cent of GSDP for the 2025-26 fiscal. The 2025-26 Budget would thus be Fiscal Responsibility and Budget Management (FRBM) compliant, he stated.
The CM announced that the state government will establish a world-class Shree Jagannath Interpretation Centre in Puri at an estimated cost of Rs 1,000 crore, while restoring the spiritual glory of the ‘Gundicha Mandir’, ‘Emar Math’, ‘Pramod Udyan’ and the historic Raghunandan Library.
“We had committed to the people that we will make a detailed inventory of the ornaments and valuables of Lord Jagannath. I am happy to allocate Rs 5 crore as grant-in-aid in favour of the Shree Jagannath Temple Administration, Puri, for preparation of a detailed inventory,” Majhi said.
He also announced the ‘DALKHAI’ (Dignified Access to Livelihood, Knowledge, Health and Allied Infrastructure) scheme to address the underlying causes of distress migration by ensuring sustainable livelihoods through inter and intra-departmental coordination.
“By facilitating mass weddings, the Odisha government is taking on the financial responsibility… so that families can celebrate this milestone without hardship,” Majhi said, proposing an allocation of Rs 12 crore for the purpose.
Majhi also proposed an allocation of Rs 5,575 crore for the ‘Viksit Bharat-Guarantee for Rozgar and Ajeevika Mission (Gramin)’ scheme, and Rs 1,500 crore for the Mahatma Gandhi National Rural Employment Guarantee Scheme (MGNREGS) for completion of pending work.
An allocation of Rs 6,088 crore has been proposed under the ‘Samrudha Krushaka Yojana’, Rs 2,030 crore for the CM-KISAN scheme, Rs 400 crore for the ‘Shree Anna Abhiyan’, and Rs 469 crore for the Crop Diversification Programme, he said.
To ensure timely payments and seamless procurement operations, the CM proposed the creation of a robust revolving fund of Rs 5,000 crore, enabling prompt disbursal to farmers.
Majhi said Odisha has an ambitious plan to provide piped water supply and safe drinking water to all rural households by the end of March 2027.
Accordingly, substantial financial provisions have been proposed, including Rs 1,495 crore under ‘Basudha’ and Rs 7,000 crore under the Jal Jeevan Mission (JJM), he said.