Budget Charting Maharashtra’s Roadmap for a Developed India – Deputy CM Ajit Pawar

Mumbai : Prime Minister Narendra Modi has resolved to place India among developed nations by 2047. For this, Maharashtra has also tightened its belt. Its reflection is clearly visible in the state budget. This budget determines the roadmap of a developed Maharashtra for the creation of a developed India, and the budget has the capability to ensure balanced development of Maharashtra, expressed Deputy Chief Minister and Finance Minister Ajit Pawar while responding to the general discussion on the 2025-26 budget.

Mumbai is the financial capital of the country. Maharashtra has always played a lion’s share in the country’s progress. The Deputy Chief Minister Pawar assured on this occasion that Maharashtra will not fall short in achieving the target set by Prime Minister Narendra Modi for the country.

We have made an earnest attempt to ensure that Maharashtra contributes the most through this budget. That is why “Developed India, Developed Maharashtra” is the core theme of this budget, he stated.

Review of Schemes

Deputy Chief Minister Ajit Pawar said that all schemes are reviewed from time to time. The schemes that become obsolete need to be discontinued. During COVID, some schemes and concessions were introduced, which had to be stopped once COVID ended. Sometimes, the central government launches new schemes similar to those of the state. To avoid duplication and to save state expenses, we discontinue our schemes.

Priority to Key Sectors

The priority order of state expenditures changes according to necessity. This time, for a developed nation and a developed Maharashtra, it was necessary to prioritize five key sectors: agriculture, industry, infrastructure, employment, and development programs for all sections of society. This budget makes an effort to focus particularly on these sectors. The government is paying special attention to transportation facilities in the state and will continue to do so.

If the road network expands, companies’ productivity increases, farmers’ transportation costs reduce, foreign exchange is saved on fuel, and the state’s economy grows significantly. Therefore, priority funding for road construction has been allocated in the budget, said Deputy Chief Minister Pawar.

The Amritkal State Road Development Plan 2025 to 2047 is based on the same vision.

Growth in Agricultural Development Rate

The agricultural growth rate for 2023-24 was 3.3%. The government empowered farmers financially, leading to an increase in the agricultural growth rate to 8.7% for 2024-25. Provisions have been made for programs such as AI technology in agriculture, Jalyukt Shivar, One Taluka One Market, river-linking projects for irrigation, Maharashtra Irrigation Improvement Program, bamboo cultivation, and the Marathwada Water Grid for farmers in Marathwada. Farmers must embrace modernization, but it is the government’s responsibility to create these facilities.

Thus, we will promote the use of AI technology to advise on crop planning and increase productivity.

In the next two years, ₹500 crore will be spent on this. AI technology (artificial intelligence) will revitalize the agricultural sector in the coming years, leading to the prosperity of Maharashtra’s farmers.

A decision has been made to provide free electricity to 45 lakh agricultural pumps in the state. During COVID, all sectors suffered setbacks except agriculture, which sustained the state. Agriculture is a key priority for the state government. Hence, a substantial provision of ₹9,700 crore has been made for the agricultural sector in this budget.

Record Soybean Procurement & Farmer Provisions

A record 11.21 lakh metric tons of soybean has been procured in the country. For this, ₹5,092 crore has been disbursed through NAFED and NCCF.

The state has allocated:

• ₹1,380 crore for paddy procurement bonus,
• ₹348 crore for onion procurement subsidy,
• ₹982 crore for milk subsidy,
• ₹3,000 crore for cotton and soybean subsidies,
• ₹5,911 crore for natural disaster relief to farmers,
• ₹17,800 crore for free electricity,
• ₹6,060 crore for Namo Kisan Samman Yojana,
• ₹150 crore for Kusum Yojana,
• ₹350 crore for Pokhara 2.0,
• ₹310 crore for Smart Yojana,
• ₹260 crore for Magnets, and
• ₹300 crore for Pandurang Deshmukh Interest Concession scheme.

New Industrial Policy

The state already has an investment-friendly environment. Maharashtra ranks first in the country in Foreign Direct Investment (FDI).

Through the agreements made at Davos, an investment of ₹15.72 lakh crore will be made in Maharashtra in the coming period, creating 16 lakh jobs. To attract investment, the government will introduce a new industrial policy under “Make in Maharashtra.” Competition among states for investment is fierce, leading to significant changes. The policy will incorporate various modern elements.

The goal is to attract ₹40 lakh crore in investment and create 50 lakh jobs in the next five years.

Maharashtra has a large number of startups, and both the central and state governments are supporting them.

1 Trillion Dollar Economy

Maharashtra’s Gross State Domestic Product (GSDP) growth rate averages around 12%. Over the past five years, GSDP has increased by ₹23 lakh crore, nearly doubling in five years. The state’s GSDP is growing by around 10% annually, with an effort to increase the growth rate to 14-15%.

Maharashtra aims for rapid economic growth. Districts will play a crucial role in accelerating economic development, leading to increased allocations in the district annual plan and consequently in GSDP.

The state is gearing up for mega projects like Vadhavan Port, which will bring massive investment and job creation in Maharashtra, fostering ancillary businesses.

The international airport in Navi Mumbai is just a few days away from commencement. Metro networks are being established in metropolitan cities. Industrial clusters are being developed. These efforts will contribute to Maharashtra’s economy reaching $1 trillion, expressed Deputy Chief Minister Ajit Pawar.

Substantial Allocation for Social Justice

We have accepted and consistently pursued the welfare state concept. Maharashtra cannot become developed unless the marginalized sections receive government opportunities and support.

Hence, a 40% increase has been proposed in the allocations for Scheduled Castes and Scheduled Tribes programs. Substantial provisions have also been made for Other Backward Classes, Denotified Tribes, Nomadic Tribes, Special Backward Classes, Dhangars, and the disabled. 22 schemes will be implemented for the Dhangar and Gowari communities on the lines of tribal development programs.

Chief Minister’s “Mazi Ladki Bahin” Scheme

Sufficient funds will be allocated to this scheme, assured Deputy Chief Minister Ajit Pawar. Under this scheme, ₹1,500 is directly transferred to women each month. The government has taken a major step toward women’s empowerment.

Women opening accounts under this scheme will receive loans of ₹10,000 to ₹25,000 from Mumbai Bank.

Thus, this scheme is not just financial aid but a step toward women’s empowerment, ensuring ₹45,000 crore per year reaches women, contributing to their families and the state’s economy.

Increase in Revenue

Revenue has consistently increased. Since GST implementation, the number of taxpayers has risen and will continue to grow, boosting tax revenue. In 2024-25, ₹3.28 lakh crore in GST (SGST+CGST+IGST) was collected, reflecting a 12.3% increase from the previous year.

Maharashtra’s share of the national GST revenue has risen to 16.31%. In 2024-25, 95.20% of revenue was collected, and the expectation is 100% collection for 2025-26.

Focus on Fiscal Discipline

Maharashtra follows fiscal discipline, keeping the fiscal deficit within FRBM norms. The estimated fiscal deficit for 2025-26 is ₹1.36 lakh crore (2.76%), within the 3% limit.

This budget shows a deficit of ₹45,000 crore, which is typically reduced by the end of the financial year, clarified Deputy Chief Minister Ajit Pawar.