Himachal CM presents ₹58,514-cr budget with focus on tourism, agriculture, and jobs

Himachal Pradesh chief minister Sukhvinder Singh Sukhu presented the state’s ₹58,514-crore budget for 2025-26 on Monday. The budget focuses on improving rural infrastructure, promoting green energy, and boosting the tourism sector. Sukhu, who also handles the finance portfolio, drove his personal Maruti Alto car from his official residence, Oakover, to the Vidhan Sabha in Shimla to present his third annual budget.

Sukhu said that 2025-26 would be a challenging financial year because the state’s revenue deficit grant (RDG) has been reduced and GST compensation has stopped. The RDG has dropped to ₹3,257 crore for 2025-26 from ₹6,258 crore last year. This reduction will make it harder for the state to manage its financial situation. The state is also waiting for ₹9,000 crore as post-disaster relief for damages caused by the 2023 monsoon.

The chief minister said that the state’s debt burden has increased to ₹1,04,729 crore. Out of this, ₹29,046 crore was taken by his government. He explained that nearly 70% of the loans taken in the past two years were used to repay debts and interest from the previous BJP government.

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Key announcements for farmers and workers

Sukhu announced several measures to support farmers and workers. The minimum support price (MSP) for cow milk will increase from ₹45 to ₹51 per litre, while buffalo milk will increase from ₹55 to ₹61 per litre.

He also set a target to bring one lakh more farmers under natural farming by 2025-26. Currently, around 1.58 lakh farmers in the state are involved in natural farming. Farmers growing raw turmeric (kachi haldi) will receive an MSP of ₹90 per kg. To further help farmers, a spice park will be set up in Hamirpur district.

Daily wages for workers under the Mahatma Gandhi National Rural Employment Guarantee Act (MNREGA) will be increased from ₹300 to ₹320 per day. Sukhu also announced the creation of a special task force (STF) to fight drug abuse in the state.

To boost tourism, the government will promote religious tourism and develop lesser-known destinations. Tea estates will be developed as eco-tourism sites to attract more visitors.

Sukhu announced that 500 electric buses will be purchased in 2025-26 to promote green transport. The Shimla ropeway project will also start in the next financial year to improve connectivity for tourists and locals.

The CM also announced plans to improve the education sector by creating separate directorates for schools and colleges. New schemes will be launched to support women, children, and people with disabilities.

The budget reflects the government’s aim to balance financial challenges while supporting farmers, improving infrastructure, and creating more jobs in the state.