Madhya Pradesh presents Rs 4.38 lakh crore Budget with major push for farmers and rural development

Madhya Pradesh Finance Minister Jagdish Deora presented a Budget of Rs 4.38 lakh crore for the financial year 2026–27 in the state Assembly. The Budget was tabled during a noisy session, as opposition members from Congress protested and raised concerns about the rising debt burden on the state.

Despite the protests, the government described the Budget as growth-oriented and focused on inclusive development. Chief Minister Mohan Yadav said the government aims to build a prosperous Madhya Pradesh by the year 2047 and has made several large allocations to achieve that goal.

One of the key announcements was an allocation of Rs 28,000 crore for the Vikasit Bharat – Employment and Livelihood Guarantee Mission (Rural). The government believes this scheme will strengthen rural employment and improve livelihoods in villages across the state.

Focus on inclusive growth

The government said the Budget focuses on inclusive growth, infrastructure development, environmental protection, tourism and cultural revival. A major amount of Rs 40,062 crore has been allocated to the Panchayat and Rural Development Department. This shows the state’s strong emphasis on strengthening village-level governance and rural infrastructure.

The Chief Minister also announced Rs 9 billion for the repair of damaged bridges and culverts. This step aims to improve connectivity and ensure safer transport in both rural and urban areas.

For the upcoming Simhastha festival, the government has earmarked around Rs 13,800 crore. Religious tourism has been growing in Madhya Pradesh, and the government wants to further develop facilities for pilgrims and visitors.

The Budget also includes social welfare schemes. Around Rs 24,000 crore has been allocated for the Chief Minister’s Ladli Behna Yojana, which supports women financially. In addition, Rs 6,600 crore has been set aside over five years to provide milk with school meals, aiming to improve child nutrition.

The government introduced a Green Budget framework this year. The aim is to reduce air pollution and promote sustainable mobility. Electric vehicles will be introduced for government use, and incentives will be provided to encourage people to adopt electric vehicles.

Tiger conservation remains another priority. The government announced plans to create new tiger reserves in Ujjain, Satna and Bhopal, along with other areas in the state. With wildlife numbers increasing, fencing arrangements are also being made to protect rural residents from animal-related risks.

Under the Swachh Bharat Mission (Gramin), Rs 400 crore has been allocated for rural sanitation. The government plans to construct two lakh new family toilets in villages. Additionally, Rs 900 crore has been allocated for housing under the PM Jan Manjan Yojana.

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Strong push for farmers and youth

The state has declared 2026–27 as a “Farmer Welfare Year.” A large portion of the Budget — Rs 2.6 lakh crore — has been allocated for farmer welfare and agricultural development.

The Finance Minister said the Bhavantar Yojana has been improved to provide better support to farmers. Under the Madhya Pradesh Krishak Unnati Yojana, a special incentive has been announced to increase farm incomes.

A major announcement was the distribution of solar pumps to one lakh farmers at a cost of Rs 3,000 crore. So far, around 6.7 lakh farmers have already benefited from this scheme. The government believes that solar pumps will reduce electricity costs and support sustainable farming practices.

Youth development has also been given importance in the Budget. The Chief Minister said Madhya Pradesh is currently the third youngest state in the country. Therefore, employment and skill development programmes are a top priority.

Special provisions have been made for OBC students. The government will strengthen scholarships and skill development programmes to benefit around 7.5 lakh students. Modern hostels and post-matric scholarships will be expanded. OBC students will also benefit from the Sardar Patel Coaching Scheme.

In addition, 4.85 lakh bicycles have been distributed to students to support their education and improve school attendance.

The government has also announced expansion of airports, construction of new greenfield roads, and development of colleges, schools and hospitals. Tourism infrastructure will be improved further with facilities such as tent cities and homestays to attract more foreign visitors.

Overall, the Rs 4.38 lakh crore Budget presents a broad plan focused on rural growth, farmer welfare, youth empowerment and green development. While the opposition has raised concerns about the state’s debt, the government says the Budget will create a prosperous and happy Madhya Pradesh in the years to come.