Shimla, March 21: Himachal Pradesh Chief Minister Sukhvinder Singh Sukhu on Saturday presented a state budget that featured a reduction in overall outlay for the first time in the state’s history. The budget size has been adjusted to ₹54,928 crore, down from the previous year’s ₹58,514 crore. The Chief Minister maintained that this reduction reflects the government’s courage in addressing a significant debt trap inherited from the previous Bharatiya Janata Party (BJP) administration.
The session in the Vidhan Sabha was marked by a 20-minute standoff after the Chief Minister attributed the state’s financial distress to the discontinuation of the Revenue Deficit Grant and GST compensation. He stated that the current fiscal crisis could have been mitigated had outstanding loans been settled by the prior government. After the brief disruption, the Chief Minister declared that his administration is committed to moving Himachal toward self-reliance despite these challenges.
During his address, the Chief Minister affirmed that the state would continue to pursue its “Green Budget” goals. He asserted that the government would fulfill all ten election guarantees, including the Old Pension Scheme and the Mahila Nidhi, regardless of the fiscal constraints. He further stated that the administration would not allow these challenges to hamper the development of the rural economy.
To improve fiscal efficiency, the Chief Minister announced a strategy to reduce unproductive expenditure and close institutes deemed unnecessary. He noted that ₹500 crore has been allocated to complete 300 projects that were previously left unfinished. He also affirmed that buildings constructed during the previous term would be put to optimum use rather than being left idle.
The Chief Minister concluded by stating that the state is focused on protecting its power rights, including the Shanan Power Project. He asserted that the government will continue to advocate for Himachal’s rightful assets and its 12% share of free power.
