Guwahati: Assam Finance Minister Ajanta Neog has announced that the state government aims to utilize 90% of the budget estimates for the 2025-26 financial year, reinforcing its commitment to efficient fiscal management and holistic development.
Addressing the Assam Assembly during the budget discussion on Wednesday, Neog emphasized that the government is adhering to all Reserve Bank of India (RBI) regulations, particularly concerning the debt-to-GDP ratio. She reassured legislators that Assam’s financial health remains stable, with debt levels maintained within permissible limits.
“We are targeting 90% budget utilization in the next fiscal year. Assam’s development must be inclusive, covering all sections of society,” Neog stated. She further informed the House that the government is on track to achieve 85% utilization of the current financial year’s total budget estimate of Rs 1,43,891 crore.
Responding to concerns raised by Independent MLA Akhil Gogoi regarding the state’s debt burden, Neog clarified that borrowing remains within RBI-prescribed limits and does not pose a threat to Assam’s economy. As per the budget data, the state’s debt-to-GSDP ratio stood at 24.3% in 2023-24.
The budget for 2025-26, presented by Neog on Monday, projects a receipt of Rs 1,55,428.75 crore under the consolidated fund and includes a fiscal deficit of Rs 620.27 crore. It proposes no new taxes for the general public while extending financial benefits to key demographics ahead of the upcoming state elections.
Key highlights include a one-time cash benefit of Rs 5,000 for 6.8 lakh tea garden workers and an extension of the tax holiday for green tea leaves for two more years, aimed at supporting the struggling tea industry. Additionally, nearly 1.5 lakh salaried individuals will receive further tax exemptions.
With Assam’s assembly elections expected in March-April next year, this marks the final full budget of the second BJP-led government under Chief Minister Himanta Biswa Sarma. The fiscal roadmap outlined by Neog signals a strategic push toward economic stability and welfare-driven policies in the run-up to the polls.
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