Haryana sets goal of $1 tln econ by 2047; Budget focuses on agri, industry
This story was originally published at 22:01 IST on 2 March 2026
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By Priyasmita Dutta
NEW DELHI – Aligning with Prime Minister Narendra Modi's vision of India becoming a $5 trillion economy by 2047, Haryana Chief Minister Nayab Singh Saini Monday set an ambitious target of achieving a $1 trillion economy by 2047, highlighting the state's significant role in India's growth story. Saini, who also holds the finance portfolio, presented the Haryana Budget 2026-27 (Apr-Mar) in the state assembly with a total expenditure of INR 2.24 trillion, 10.3% higher than the revised estimate of INR 2.03 trillion for the current fiscal.
The Budget primarily focused on rural empowerment and industrial growth in order to drive sustained economic growth. Though the Budget speech included a few big-ticket announcements, the state government took a calibrated approach in loosening its purse strings, with fiscal deficit pegged at INR 402.93 billion, or 2.65% of the Gross State Domestic Product for FY27. The fiscal deficit for this year is within the limit of 3.5% of GDSP set by the Centre for states.
The revenue deficit is estimated at 0.87% of GSDP, while the effective revenue deficit is pegged at 0.41%, Saini said.
The chief minister highlighted the need for capital investments to accelerate infrastructure growth, but projected FY27 capital expenditure at INR 282 billion, accounting for 12.6% of the total budget, only 1.8% higher on year. Effective capital expenditure stands at INR 352 billion, or 15.7% of the Budget, he said. In FY26, capital expenditure was 13.6% of the total Budget.
One of the key takeaways from Saini's speech was the creation of a third power distribution company- Haryana Agri DISCOM, specifically designed to cater to the farming community. This dedicated utility will manage 5,084 agricultural feeders, ensuring uninterrupted power for 712,000 consumers, he said. Uttar Haryana Bijli Vitran Nigam and Dakshin Haryana Bijli Vitran Nigam are the other two existing distribution companies in the state.
He also said three meetings of 'Gram Sabhas' will now be mandatory and issues such as water supply, water pollution, water logging, drugs, and verification have been included in the duties of Gram Panchayats. For the rural economy, Saini also increased the subsidy under the 'Mera Pani–Meri Virasat Yojana' - subsidy for farmers who give up paddy cultivation – to INR 10,000 per acre for farmers who cultivate pulses, oilseeds and cotton to promote crop diversification. He also announced that water samples from one-third of the state's tubewells — approximately 270,000 wells — will be tested. In addition, a grant of INR 10,000 per acre per year will be provided to promote natural farming.
Saini also announced 80% subsidy will be provided on organic fertilisers to promote sustainable farming. He also announced INR 1.40 crore waiver on outstanding surcharge on water and sewerage bills. He said the World Bank has approved INR 57.15 billion for 'Water Secure Haryana' and INR 4.74 billion for 'Haryana Al Mission'.
For the development of industry, Saini announced the establishment of a special fund of INR 5 billion for FY27 named 'Saksham'. The aim of this fund is to enhance infrastructure in targeted cities, promote industrial activities, and strengthen the local economy. This initiative demonstrates the government's commitment to supporting and developing the industrial sector, he said. The chief minister also announced establishment of Urban Green Resilience Fund with INR 1 billion for infrastructure development, including large-scale plantations along parks, green belts, and major roads in all cities.
He also earmarked INR 6.10 billion for guarantee of 125 days of wage-based employment in a year to every rural household under the Viksit Bharat Guarantee for Rozgar and Ajeevika Mission (Gramin, earlier called Mahatma Gandhi National Rural Employment Guarantee Scheme. The chief minister also announced that, for the first time, a micro, small, medium enterprises buyer-seller meet will be organised in the state while also providing common facility centres for them.
Saini allocated INR 140 billion for health services in FY27, 33% higher on year. End
Edited by Deepshikha Bhardwaj
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