Meghalaya tables ₹32,023-crore budget with focus on growth and fiscal stability

Conrad K Sangma has presented a ₹32,023-crore budget for 2026–27, keeping the fiscal deficit within 3.5 per cent while sharply increasing capital expenditure beyond ₹10,000 crore for the...

Chief Minister Conrad K Sangma on Monday tabled a ₹32,023-crore budget for 2026–27, laying out a roadmap that combines fiscal caution with ambitious economic expansion under Vision 2032.

Delivering his ninth consecutive budget, Sangma said the government’s priority is to maintain financial discipline while accelerating growth during what he termed the “Meghalayan Decade.” The broader goal is to triple the state’s GSDP by 2032 and strengthen Meghalaya’s position among India’s better-performing states.

The fiscal deficit is projected at ₹2,672 crore, or 3.5 per cent of GSDP, staying within the permissible limit. Revenue expenditure is estimated at ₹21,812 crore, while capital expenditure has been pegged at ₹10,211 crore — crossing the ₹10,000-crore mark for the first time. After accounting for loan repayments of ₹2,731 crore, effective expenditure stands at ₹29,293 crore.

Revenue receipts are estimated at ₹26,583 crore and capital receipts at ₹5,417 crore. Excluding borrowings of ₹5,379 crore, total receipts are projected at ₹26,621 crore. Interest payments are expected to touch ₹1,540 crore, while pension liabilities stand at ₹1,980 crore.

Transfers from the Centre are likely to increase to ₹21,229 crore, and the state’s own tax revenue is projected at ₹4,720 crore. Sangma attributed the rise in capital spending to improved tax mobilisation, better utilisation of centrally sponsored schemes and strategic use of externally aided projects.

The government has continued its thematic budgeting approach, with the Gender Budget at ₹6,849 crore, the Climate Budget at ₹5,572 crore and the Youth Budget at ₹4,824 crore.

Highlighting economic performance, the Chief Minister said Meghalaya has recorded a real GSDP growth rate of 9.66 per cent and sustained nearly 10 per cent growth for three consecutive post-COVID years. The state’s GDP is projected to reach ₹76,320 crore in 2026–27, with targets of ₹85,000 crore by 2028 and ₹1.35 lakh crore by 2032.

In the health sector, ₹2,472 crore has been allocated. Around 6.6 lakh families are covered under the Meghalaya Health Insurance Scheme. Facilities such as Resubelpara Civil Hospital and Mahendraganj MCH are being operationalised, while Shillong Medical College has begun with 50 seats and Tura Medical College is expected soon. The state has also recruited 550 doctors and 335 specialists to strengthen services.

A focused 1,000-day mission to tackle child stunting has been launched with ₹127 crore, along with ₹244 crore for nutrition programmes.

Education spending stands at ₹3,347 crore. Captain Williamson Sangma University began operations in 2025, and over one lakh students are benefiting from the Chief Minister’s Scholarship scheme. A structured pay reform will benefit more than 23,000 fixed-pay teachers.

Agriculture remains central to the “Mission 10” strategy, with ₹664 crore allocated. Since 2018, 1.8 lakh farmers have been supported, and incomes of many households have increased. The introduction of Japanese Tochiotome strawberries is expected to benefit 4,000 farmers across 250 villages. Ten PRIME hubs are promoting exports of pineapple, orange, black pepper and Lakadong turmeric.

In youth and skills development, ₹844 crore has been earmarked for Sports and Youth Affairs, more than doubling earlier allocations. Over 28,000 jobs have been created through various initiatives, and the state plans to train 10 youth per village — around 70,000 by 2028.

Tourism has been allocated ₹376 crore. Destinations such as Umiam, Sohra and Dawki–Shnongpdeng are being further developed. Projects like the Mawkdok Cantilever Bridge and the proposed Monolithic Towers Complex at Mawkhanu aim to boost visitor appeal. Premium hospitality projects, including Taj Umiam, are under development.

Urban development outlay has increased to ₹1,540 crore, with New Shillong City positioned as a key growth hub. Major projects include a Police Reserve, Central Jail and market upgrades. ₹200 crore has been earmarked for expansion of Umroi and Baljek airports. AT&C losses in the power sector have reduced sharply from 37 per cent to 10.8 per cent.

On fiscal federalism, Sangma noted that changes introduced by the Fifteenth Finance Commission, particularly the inclusion of contribution to national GDP as a parameter, have reduced allocations for smaller states like Meghalaya. The matter has been taken up with the Union Finance Minister.

Addressing scientific mining, he said earlier negotiations required a minimum 100-hectare lease area. With the process now underway, the state is working to reduce the threshold to support small-scale miners.

Overall, the 2026–27 budget reflects record capital investment, steady growth and continued focus on social and infrastructure development as Meghalaya advances toward its Vision 2032 goals.

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