The Finance Minister of Assam, Mr. Jayanta Mallabaruah, presented the Budget for the financial year 2026-27 on July 10, 2026.

Budget Highlights

• The Gross State Domestic Product (GSDP) of Assam for 2026-27 (at current prices) is projected to be Rs 8,71,451 crore, amounting to a growth of 17% over 2025-26.

• Expenditure (excluding debt repayment) in 2026-27 is estimated to be Rs 1,48,029 crore, a decrease of 13% from the revised estimate for 2025-26.  In addition, debt of Rs 8,685 crore will be repaid by the state.

• Receipts (excluding borrowings) for 2026-27 are estimated to be Rs 1,21,843 crore, an increase of 1% over the revised estimate for 2025-26. 

• The state is estimated to achieve a revenue balance in 2026-27 (no revenue surplus or deficit).  In 2025-26, the state had similarly estimated a revenue balance at the budget stage.  As per the revised estimates, the state is estimated to register a revenue deficit of 1.8% of GSDP (Rs 13,218 crore). 

• Fiscal deficit for 2026-27 is targeted at 3% of GSDP (Rs 26,186 crore).  In 2025-26, as per the revised estimates, fiscal deficit is expected to be 6.7% of GSDP, higher than budgeted (3.7% of GSDP).

Policy Highlights

• Agriculture:  The exemption threshold for Agricultural Income Tax will be increased from Rs 2.5 lakh to Rs 10 lakh of annual agricultural income.  The production subsidy for orthodox and specialty tea will be enhanced.  Matcha tea will be included in this category.  Subsidy will be introduced at the rate of three rupees per kg for export-oriented and premium-quality Assam tea. 

• Health infrastructure:  Around 33,000 new posts for health professionals will be created.  Four new medical colleges will be established. 

• Power infrastructure:  Investment of Rs 72,753 crore will be undertaken in six power infrastructure projects across hydro, solar, thermal, and energy storage.  15,000 circuit kilometres of transmission and distribution lines and 120 new substations will be added to the Assam’s power distribution network.

• Guwahati satellite city:  An urban growth centre will be developed around Guwahati.  Rs 2,100 crore has been allocated for initial land acquisition.

• Green Cess:  A Green cess will be levied on polluting activities, such as stone crushers, brick kilns, and commercial ground-water extraction.  Proceeds from this cess will be used for environmental conservation, climate adaptation, and other environmentally sustainable infrastructure.

Assam’s Economy GSDP:  In 2025-26, Assam’s GSDP (at constant prices) is estimated to grow by 10% over the previous year.  In comparison, India’s GDP is estimated to grow by 8% in 2025-26. Sectors:  In 2025-26, agriculture, manufacturing, and services sectors are estimated to contribute 35%, 22%, and 43% of Assam’s economy, respectively (at current prices).  Per capita GSDP:  In 2025-26, Assam’s per capita GSDP (at current prices) is estimated to be Rs 2,03,760, an increase of 15% over 2024-25.  In comparison, India’s per capita GDP in 2025-26 is estimated to be Rs 2,43,803, an increase of 8% over the previous year.

Figure 1: Growth in Assam’s GSDP at constant prices (2011-12) Note: These numbers are as per constant prices (2011-12) which implies that the growth rate is adjusted for inflation. Sources: Economic Survey of Assam 2025-26; PRS.

Budget Estimates for 2026-27

Variations between Revised Estimates and Actuals Revised estimate for expenditure has been significantly higher than budgeted amount in the last few years.  However, actual figures that are released later are significantly lower than the revised estimates (Table 1).  We have therefore used annualised increase over two years for our analysis in this document. Table 1: Total expenditure (excluding debt repayment) - estimates and actuals (Rs crore) Year Budget Estimate Revised Estimate Actual 2022-23 1,15,028 1,52,003 1,19,952 2023-24 1,35,348 1,50,050 1,15,672 2024-25 1,36,699 1,51,481 1,26,317 2025-26 1,46,642 1,69,939 - Source: Assam Budget Documents of various years; PRS.

• Total expenditure (excluding debt repayment) in 2026-27 is targeted at Rs 1,48,029 crore.  This is an annualised increase of 8% over 2024-25.  This expenditure is proposed to be met through receipts (excluding borrowings) of Rs 1,21,843 crore and net borrowings of Rs 21,315 crore.  Total receipts for 2026-27 (other than borrowings) are estimated to register an annualised increase of 12% over 2024-25.

• The state estimates a revenue balance (neither surplus nor deficit) in 2026-27.  In 2024-25, as per the actuals, the state had observed a revenue deficit of 0.5% of GSDP (Rs 3,000 crore).

• Fiscal deficit for 2026-27 is targeted at 3% of GSDP (Rs 26,186 crore).  As per the actuals, fiscal deficit in 2024-25 was 4.4% of GSDP.   

Table 2: Budget 2026-27 - Key figures (in Rs crore)

Items	2024-25 Actuals	2025-26 Budgeted	2025-26 Revised	% change (25-26 BE to 25-26 RE)	2026-27 Budgeted	% change (25-26 RE to 26-27 BE)	Annualised change from 24-25 to 26-27
Total Expenditure	1,43,330	1,55,985	2,00,782	29%	1,56,715	-22%	5%
(-) Repayment of debt	17,013	9,343	30,843	230%	8,685	-72%	-29%
Net Expenditure (E)	1,26,317	1,46,642	1,69,939	16%	1,48,029	-13%	8%
Total Receipts	1,38,280	1,55,429	1,75,904	13%	1,51,843	-14%	5%
(-) Borrowings	40,493	36,185	55,675	54%	30,000	-46%	-14%
of which central capex loans*	7,428	8,700	8,764	1%	6,000	-32%	-10%
Net Receipts (R)	97,787	1,19,244	1,20,229	1%	1,21,843	1%	12%
Fiscal Deficit (E-R)	28,530	27,398	49,710	81%	26,186	-47%	-4%
as % of GSDP	4.4%	3.7%	6.7%	-	3.0%	-	-
Revenue Balance**	-3,000	0	-13,218	-	0	-100%	-
as % of GSDP	-0.5%	0.0%	-1.8%	-	0.0%	-	-
Primary Deficit	19,062	16,411	38,698	136%	13,839	-64%	-15%
as % of GSDP	3.0%	2.2%	5.2%		1.6%		-27%
GSDP	6,43,383	7,41,626	7,45,292	0.5%	8,71,451	17%	16%

Note: BE is Budget Estimates; RE is Revised Estimates.  *Central government has been providing 50-year interest-free loans to state governments for capital expenditure since 2020-21.  These loans are excluded from the calculation of the state's borrowing ceiling.  **(+) indicates a surplus and (-) indicates a deficit.
Sources: Annual Financial Statement, Assam Budget Documents 2026-27; PRS.

Orunodoi scheme Orunodoi scheme was launched in October 2020 to provide direct benefit transfer to eligible women.  It initially covered female member of households earning less than two lakh rupees.  In 2020, the cash benefit was Rs 830 per family per month, which was increased to Rs 1,000 in 2021, and Rs 1,250 in 2022.  Coverage of beneficiaries was expanded in 2022-23 and 2024-25.  Consequently, the number of beneficiaries increased from 17 lakh in 2020-21 to 24 lakh in 2024-25.  The amount disbursed increased from Rs 850 crore in 2020-21 to Rs 3,680 crore in 2024-25.  In 2025-26, until October 2025, Rs 3,500 crore was disbursed to around 31 lakh beneficiaries.  On March 10, 2026, the state government transferred Rs 9,000 per beneficiary in one go to around 40 lakh women under the scheme.  This included benefits for four months, and a festive bonus of Rs 4,000.  In 2025-26, as per the revised estimates, Rs 6,000 crore is estimated to be spent under the scheme.  In 2026-27, Rs 3,700 crore has been allocated. Sources: Assam Economic Survey 2025-26, “Assam govt transfers Rs 9000 each to 40 Lakh Women under Orunodoi 3.0”, News on AIR, March 10, 2026, Demands for Grants, Assam Budget Documents; PRS.

• Revenue expenditure for 2026-27 is proposed to be Rs 1,18,562 crore, an annualised increase of 9% over the 2024-25 actuals (see Table 3 on next page).  This includes expenditure on salaries, pension, interest, grants, and subsidies.
• Capital outlay for 2026-27 is proposed to be Rs 29,451 crore, an annualised increase of 6% over the 2024-25 actuals.  Capital outlay indicates the expenditure towards creation of assets such as roads and buildings. 

Table 3:  Expenditure budget 2026-27 (in Rs crore)

Items	2024-25 Actuals	2025-26 Budgeted	2025-26 Revised	% change (25-26 BE to 25-26 RE)	2026-27 Budgeted	% change (25-26 RE to 26-27 BE)	Annualised change from 24-25 to 26-27
Revenue Expenditure	99,908	1,17,226	1,31,429	12%	1,18,562	-10%	9%
Capital Outlay	26,404	29,365	38,459	31%	29,451	-23%	6%
Loans given by the state	5	52	52	0%	17	-68%	90%
Net Expenditure	1,26,317	1,46,642	1,69,939	16%	1,48,029	-13%	8%

Sources:  Annual Financial Statement, Assam Budget Documents 2026-27; PRS.

Committed expenditure: Committed expenditure of a state typically includes expenditure on payment of salaries, pension, and interest.  A larger proportion of the budget allocated for committed expenditure items limits the state’s flexibility to decide on other expenditure priorities, such as capital outlay.  In 2026-27, Assam is estimated to spend Rs 75,019 crore on committed expenditure, which is 63% of its estimated revenue receipts.  This comprises spending on salaries (32% of revenue receipts), pension (21%), and interest payments (10%).  In 2024-25, 66% of revenue receipts were spent on committed expenditure (as per actuals).

Table 4: Committed Expenditure in 2026-27 (in Rs crore)

Items	2024-25 Actuals	2025-26 Budgeted	2025-26 Revised	% change (25-26 BE to 25-26 RE)	2026-27 Budgeted	% change (25-26 RE to 26-27 BE)	Annualised change from 24-25 to 26-27
Salaries	35,604	40,177	-	-	38,166	-	4%
Pension	18,769	20,900	20,961	0.3%	24,505	17%	14%
Interest payment	9,468	10,987	11,012	0.2%	12,347	12%	14%
Total	63,841	72,065	-	-	75,019	-	8%

Note: Salary figures for 2025-26 RE not available.
Sources: Annual Financial Statement, Assam Budget Documents 2026-27; PRS.

Sector-wise expenditure: The sectors listed below account for 60% of the total expenditure on sectors by the state in 2026-27.  A comparison of Assam’s expenditure on key sectors with that by other states is shown in Annexure 1.

Table 5: Sector-wise expenditure under Assam Budget 2026-27 (in Rs crore)

Sector	2024-25 Actuals	2025-26 BE	2025-26 RE	2026-27 BE	% change (25-26 RE to 26-27 BE)	Annualised change from 24-25 to 26-27	Budget Provisions 2026-27 BE
Education, Sports, Arts, and Culture	22,731	26,156	27,432	25,873	-6%	7%	Rs 8,889 crore has been allocated to primary schools (including government and non-government schools).
Social Welfare and Nutrition	9,936	13,482	19,286	11,934	-38%	10%	Rs 3,700 crore has been allocated towards Orunodoi scheme, and Rs 3,191 crore has towards relief on account of natural calamities.
Transport	10,824	11,509	15,945	11,504	-28%	3%	Rs 10,042 crore has been allocated towards capital outlay on roads and bridges.
Health and Family Welfare	7,399	8,902	10,673	8,998	-16%	10%	Rs 3,276 crore has been allocated towards rural health services (allopathy).
Police	5,951	7,170	7,236	7,140	-1%	10%	Rs 2,985 crore has been allocated towards district police.
Rural Development	3,739	4,962	7,026	6,190	-12%	29%	Rs 2,418 crore has been allocated towards the national rural employment guarantee scheme.
Agriculture and Allied Activities	4,782	6,140	6,676	5,421	-19%	6%	Revenue expenditure towards crop husbandry - horticulture has been allocated Rs 1,358 crore.
Urban Development	3,876	2,762	3,661	4,490	23%	8%	Rs 3,368 crore has been allocated towards capital outlay on urban development, which includes Rs 2,528 crore state capital.
Welfare of SC, ST, OBC, and Minorities	3,194	3,524	4,319	3,477	-20%	4%	Rs 2,803 crore has been allocated towards welfare of scheduled tribes.
Water Supply and Sanitation	1,015	5,378	5,423	3,121	-42%	75%	Rs 1,704 crore has been allocated towards rural water supply programmes.
% of total expenditure on all sectors	58%	61%	63%	60%

Sources: Annual Financial Statement, Assam Budget Documents 2026-27; PRS.

Potential for revenue generation CAG (2026) noted that in 2023-24 and 2024-25, Assam’s own revenue increased at a slower pace that its GSDP (see Table 6).  A study commissioned by the 16th Finance Commission recommended certain reforms to enhance revenue generation from own sources.  It observed that introducing a plantation tax on tea leaves could uplift tea communities and develop those areas.  Similarly, given the increase in area under rubber plantations (from 42,097 hectares in 2014-15 to 94,500 hectares in 2024-25), a rubber plantation tax could also be imposed.  Increasing inclination towards leisure due to improved standards of living could potentially generate revenue through entertainment tax.  Table 6: Growth rate in own revenue source and GSDP (in %) Head 2021 -22 2022 -23 2023 -24 2024 -25 Own Tax Revenue 14% 25% 15% 7% Own Non-Tax Revenue 23% 61% 2% -9% GSDP (at current prices) 21% 18% 17% 13% Sources: Report no. 2 of 2026, State Finances Audit Report, Comptroller and Auditor General of India; Evaluation of finances of Assam state, submitted by Cotton University to the 16th FC; Statistical Handbook of Assam of various years; PRS.

• Total revenue receipts for 2026-27 are estimated to be Rs 1,18,562 crore, an annualised increase of 11% over the 2024-25 actuals.  Of this, Rs 42,449 crore (36%) will be raised through own resources, and Rs 76,113 crore (64%) will come from the centre.  Resources from the centre will be in the form of share in central taxes (40% of revenue receipts) and grants (24% of revenue receipts).

• Devolution:  In 2026-27, the state’s share in central taxes is estimated at Rs 47,905 crore, an annualised increase of 9% over 2024-25.

• Grants from the centre in 2026-27 are estimated to be Rs 28,208 crore, an annualised increase of 15% over 2024-25.

• State’s own tax revenue:  Assam’s total own tax revenue is estimated to be Rs 36,000 crore in 2026-27, an annualised increase of 9% over 2024-25.  Own tax revenue as a percentage of GSDP is estimated at 4.1% in 2026-27.  In 2024-25, as per the actuals, own tax revenue was 4.7% of GSDP.

Table 7: Break-up of the state government’s receipts (in Rs crore)

Items	2024-25 Actuals	2025-26 Budgeted	2025-26 Revised	% change (25-26 BE to 25-26 RE)	2026-27 Budgeted	% change (25-26 RE to 26-27 BE)	Annualised change from 24-25 to 26-27
State's Own Tax	30,052	34,823	34,610	-1%	36,000	4%	9%
State's Own Non-Tax	5,352	8,361	8,361	0%	6,449	-23%	10%
Share in Central Taxes	40,254	44,494	43,572	-2%	47,905	10%	9%
Grants-in-aid from Centre	21,250	29,548	31,668	7%	28,208	-11%	15%
Revenue Receipts	96,908	1,17,226	1,18,211	1%	1,18,562	0.3%	11%
Non-debt Capital Receipts	879	2,018	2,018	0%	3,281	63%	93%
Net Receipts	97,787	1,19,244	1,20,229	0.8%	1,21,843	1%	12%

Note: BE is Budget Estimates; RE is Revised Estimates.
Sources: Annual Financial Statement, Assam Budget Documents 2026-27; PRS.

• In 2026-27, State GST (SGST) is estimated to be the largest source of own tax revenue (52% share).  SGST revenue is estimated to register an annualised increase of 10% over the 2024-25 actuals.  In 2025-26, SGST revenue is expected to be almost the same as budgeted.

• Receipts from state excise in 2026-27 is estimated to register an annualised increase of 14% over 2024-25.  Receipts from taxes on vehicles in 2026-27 is expected to register an annualised increase of 10%.

Table 8:  Major sources of state’s own-tax revenue (in Rs crore)

Head	2024-25 Actuals	2025-26 Budgeted	2025-26 Revised	% change (25-26 BE to 25-26 RE)	2026-27 Budgeted	% change (25-26 RE to 26-27 BE)	Annualised change from 24-25 to 26-27
State GST	15,534	17,889	17,740	-1%	18,674	5%	10%
Sales Tax/ VAT	7,864	8,591	8,527	-1%	8,639	1%	5%
State Excise	3,610	4,425	4,425	0%	4,700	6%	14%
Taxes on Vehicles	1,912	2,120	2,120	0%	2,330	10%	10%
Stamps Duty and Registration Fees	650	841	841	0%	841	0%	14%
Land Revenue	161	472	472	0%	472	0%	71%
Taxes and Duties on Electricity	86	234	234	0%	95	-60%	5%

Sources: Annual Financial Statement, Revenue Budget, Assam Budget Documents 2026-27; PRS.

The Assam Fiscal Responsibility and Budget Management Act, 2005 provides annual targets to progressively reduce the outstanding liabilities, revenue deficit, and fiscal deficit of the state government.

Resources of Panchayati Raj Institutions Panchayati Raj Institutions (PRIs) have three sources of resources – internal revenue, devolution from the state (based on State Finance Commission (SFC) recommendations), and devolution from the centre (based on Finance Commission recommendations).  The Seventh Assam SFC noted that internal revenue generation (comprising tax and non-tax sources) of PRIs declined from Rs 56 crore in 2019-20 to Rs 45 crore in 2024-25 (see Table 9).  In many panchayats, internal revenue is non-existent, or negligible.  Further, the Seventh SFC noted that despite SFC recommendations, limited funds had been released by the state.  The release of funds against previous SFCs’ recommendations has been below 20%, except for the fourth SFC (34%).  Against the general purpose grants worth Rs 2,106 crore recommended by the sixth SFC (2020-25), Rs 292 crore (14%) had been released till the fourth year (2023-24).  No funds were release under special purpose grants and incentive grants. Table 9: Internal revenue generation of PRIs (in Rs crore) Category 2019-20 2024-25 CAGR (in %) Tax Revenue 18 5 -22% Non-Tax Revenue 38 40 1% Total 56 45 -4% Sources: Report of the 7th AFSC (Vol-I), 2025; PRS.

 

 

 

 

 

 

 

 

 

 

 

 

 

Revenue balance:  It is the difference of revenue expenditure and revenue receipts.  A revenue deficit implies that the government needs to borrow to finance those expenses which do not increase its assets or reduces its liabilities.  The budget estimates a revenue balance (neither surplus nor deficit) in 2026-27.  In 2024-25, as per actuals, the state had observed a revenue deficit of Rs 3,000 crore (0.5% of GSDP).

Fiscal deficit:  It is the excess of total expenditure over total receipts.  This gap is filled by borrowings by the government and leads to an increase in total liabilities.  In 2026-27, the fiscal deficit is estimated to be 3% of GSDP.  The 16^th Finance Commission has recommended the fiscal deficit target for states to be 3% of GSDP for the 2026-31 period. The borrowing ceiling will be computed after excluding the 50-year interest free loans for capital expenditure given by the central government. In 2026-27, this loan is estimated to be Rs 6,000 crore (0.7% of GSDP).  In 2024-25, as per actuals, fiscal deficit was 4.4% of GSDP.  Receipt from central capex loans in 2024-25 was 1.2% of GSDP (Rs 7,428 crore).

Outstanding liabilities:  Outstanding liabilities are the accumulation of total borrowings at the end of a financial year, including open market borrowings, institutional loans, and central government loans.  They also include certain public account liabilities such as provident funds.  At the end of 2026-27, outstanding liabilities are estimated to be 24% of GSDP, about same as actuals for 2024-25.

Figure 2: Revenue and Fiscal Balance (% of GSDP)   Note: *Figures from 2027-28 onwards are projections.  RE is Revised Estimates; BE is Budget Estimates.  (+) indicates a surplus and (-) indicates a deficit. Sources: Medium Term Fiscal Policy, Assam Budget Documents of various years; PRS.

Figure 3: Outstanding liabilities (% of GSDP) Note: Data for 2025-26 RE is not available.  *Figures from 2027-28 onwards are projections.  RE is Revised Estimates; BE is Budget Estimates. Sources: Medium Term Fiscal Policy, Assam Budget Documents of various years; PRS.

Outstanding Government Guarantees: Outstanding liabilities of states do not include a few other liabilities that are contingent in nature, which states may have to honour in certain cases.  State governments guarantee the borrowings of State Public Sector Enterprises (SPSEs) from financial institutions.  As of March 31, 2025, the state’s outstanding guarantee is estimated to be Rs 2,690 crore, which is 0.4% of Assam’s GSDP.

The graphs below compare Assam’s expenditure in 2026-27 on six key sectors as a proportion of its total expenditure on all sectors.  The average for a sector indicates the average expenditure in that sector by 31 states (including Assam) as per their budget estimates of 2025-26.[1]

• Education: Assam has allocated 17.5% of its expenditure towards education in 2026-27.  This is higher than the average allocation for education by states in 2025-26 (14.5%).

• Health: Assam has allocated 6.1% of its expenditure towards health in 2026-27.  This is marginally lower than the average allocation for health by states in 2025-26 (6.2%).

• Rural development: Assam has allocated 4.2% of its expenditure towards rural development in 2026-27.  This is lower than the average allocation for rural development by states in 2025-26 (4.9%).

• Roads and Bridges: Assam has allocated 7.5% of its expenditure towards roads and bridges in 2026-27.  This is higher than the average allocation for roads and bridges by states in 2025-26 (4.3%).

• Agriculture: Assam has allocated 3.7% of its expenditure towards agriculture in 2026-27.  This is lower than the average allocation for agriculture by states in 2025-26 (5.7%).

• Police: Assam has allocated 4.8% of its expenditure towards police in 2026-27.  This is higher than the average allocation for police by states in 2025-26 (4%).

Note: 2024-25, 2025-26 (BE), 2025-26 (RE), and 2026-27 (BE) figures are for Assam.
Sources: Annual Financial Statement, Assam Budget Documents 2026-27; various state budgets; PRS.

The Report of the 16^th Finance Commission (Chair: Dr. Arvind Panagariya) was tabled in Parliament on February 1, 2026.  The recommendations will apply for the five-year period between 2026-27 and 2030-31.  The 16^th Commission (FC) has recommended the share of states in the divisible pool of central taxes at 41%.  Divisible pool is arrived at after excluding cost of collection and cesses and surcharges from the gross tax revenue collected by the central government.  The share remains unchanged from the 15^th FC award period (2021-26).  The 16^th FC has proposed revised criteria to determine the share of individual states. Based on the recommendations of the 16^th FC, Assam will have a 3.26% share in the divisible pool of central taxes during the 2026-31 period, an increase compared to the 15^th FC period (3.13%). 

The 16^th FC has recommended grants worth Rs 9.47 lakh crore over the five-year period.  These comprise grants for: (i) urban and rural local bodies, and (ii) disaster management.  The 16^th FC has discontinued the following grants recommended by the 15^th FC: (i) revenue deficit grants, (ii) sector-specific grants, and (iii) state-specific grants.  Grants recommended for Assam over the 2026-31 period include: (i) Rs 3,249 crore for urban local bodies, (ii) Rs 14,580 crore for rural local bodies, and (iii) Rs 5,243 crore as disaster management grants.

See here for the 16^th Finance Commission Report summary.  See Table 10 and Table 11 for state-wise share.

Table 10: Individual share of states in the taxes devolved by the centre (out of 100) State 14th FC (2015-2020) 15th FC (2021-26) 16th FC (2026-31) Andhra Pradesh 4.31 4.05 4.22 Arunachal Pradesh 1.37 1.76 1.35 Assam 3.31 3.13 3.26 Bihar 9.67 10.06 9.95 Chhattisgarh 3.08 3.41 3.30 Goa 0.38 0.39 0.37 Gujarat 3.08 3.48 3.76 Haryana 1.08 1.09 1.36 Himachal Pradesh 0.71 0.83 0.91 Jammu and Kashmir 1.85 - - Jharkhand 3.14 3.31 3.36 Karnataka 4.71 3.65 4.13 Kerala 2.5 1.93 2.38 Madhya Pradesh 7.55 7.85 7.35 Maharashtra 5.52 6.32 6.44 Manipur 0.62 0.72 0.63 Meghalaya 0.64 0.77 0.63 Mizoram 0.46 0.5 0.56 Nagaland 0.5 0.57 0.48 Odisha 4.64 4.53 4.42 Punjab 1.58 1.81 2.00 Rajasthan 5.5 6.03 5.93 Sikkim 0.37 0.39 0.34 Tamil Nadu 4.02 4.08 4.10 Telangana 2.44 2.1 2.17 Tripura 0.64 0.71 0.64 Uttar Pradesh 17.96 17.94 17.62 Uttarakhand 1.05 1.12 1.14 West Bengal 7.32 7.52 7.22

Table 11: State-wise details of grants-in-aid for 2026-31 (in Rs crore) State Rural Local Bodies Urban Local Bodies Disaster Management Andhra Pradesh 16,627 12,158 6,125 Arunachal Pradesh 1,698 233 616 Assam 14,580 3,249 5,243 Bihar 51,923 9,169 13,615 Chhattisgarh 11,664 4,990 2,481 Goa 174 726 112 Gujarat 18,802 23,764 8,459 Haryana 8,270 7,834 2,922 Himachal Pradesh 3,744 435 2,682 Jharkhand 14,231 6,093 2,806 Karnataka 18,889 18,483 6,419 Kerala 3,308 16,683 1,935 Madhya Pradesh 32,033 16,016 11,697 Maharashtra 32,817 46,803 29,619 Manipur 1,262 609 259 Meghalaya 1,479 377 437 Mizoram 567 377 284 Nagaland 697 667 408 Odisha 18,715 5,078 8,900 Punjab 8,486 7,834 2,477 Rajasthan 31,467 12,680 9,211 Sikkim 218 203 455 Tamil Nadu 16,930 25,069 8,486 Telangana 9,968 11,548 2,774 Tripura 1,176 1,016 356 Uttar Pradesh 83,261 33,543 15,321 Uttarakhand 4,047 2,497 4,954 West Bengal 28,203 22,023 6,869

Sources:  Reports of the 14^th, 15^th, and 16^th Finance Commission Reports; PRS.

Table 12:  Taxes devolved to states as per Union Budget 2026-27 (in Rs crore)

State	2024-25 Actuals	2025-26 Revised	2026-27 Budget
Andhra Pradesh	51,564	56,374	64,362
Arunachal Pradesh	22,386	24,475	20,665
Assam	39,855	43,572	49,725
Bihar	1,28,151	1,40,105	1,51,832
Chhattisgarh	43,409	47,459	50,427
Goa	4,918	5,377	5,571
Gujarat	44,314	48,448	57,311
Haryana	13,926	15,225	20,772
Himachal Pradesh	10,575	11,562	13,950
Jharkhand	42,135	46,066	51,236
Karnataka	46,467	50,802	63,050
Kerala	24,527	26,815	36,355
Madhya Pradesh	1,00,019	1,09,348	1,12,134
Maharashtra	80,486	87,994	98,306
Manipur	9,123	9,974	9,554
Meghalaya	9,773	10,684	9,631
Mizoram	6,371	6,965	8,608
Nagaland	7,250	7,926	7,341
Odisha	57,692	63,074	67,460
Punjab	23,023	25,171	30,464
Rajasthan	76,779	83,940	90,446
Sikkim	4,944	5,405	5,113
Tamil Nadu	51,971	56,819	62,531
Telangana	26,782	29,280	33,181
Tripura	9,021	9,862	9,783
Uttar Pradesh	2,28,565	2,49,885	2,68,911
Uttarakhand	14,245	15,573	17,415
West Bengal	95,852	1,04,793	1,10,119
Total	12,74,121	13,92,971	15,26,255

Note: Actuals for 2024-25 and Revised Estimates for 2025-26 have been reported in the Union Budget after adjusting for excess or less devolution in previous years.
Sources: Union Budget Documents 2026-27; PRS.

The following tables compare the actuals of 2024-25 with budget estimates for that year.

Table 13: Overview of Receipts and Expenditure (in Rs crore)

Particular	2024-25 BE	2024-25 Actuals	% change from BE to Actuals
Net Receipts (1+2)	1,14,165	97,787	-14%
1. Revenue Receipts (a+b+c+d)	1,11,944	96,908	-13%
a. Own Tax Revenue	34,148	30,052	-12%
b. Own Non-Tax Revenue	8,871	5,352	-40%
c. Share in central taxes	40,000	40,254	1%
d. Grants-in-aid from the Centre	28,924	21,250	-27%
2. Non-Debt Capital Receipts	2,221	879	-60%
3. Borrowings	29,441	40,493	38%
Of which central capex loans	4,000	7,428	86%
Net Expenditure (4+5+6)	1,36,699	1,26,317	-8%
4. Revenue Expenditure	1,10,092	99,908	-9%
5. Capital Outlay	26,596	26,404	-1%
6. Loans and Advances	11	5	-60%
7. Debt Repayment	7,192	17,013	137%
Revenue Balance*	1,852	-3,000	-262%
Revenue Balance (as % of GSDP)	0.3%	-0.5%
Fiscal Deficit	22,534	28,530	27%
Fiscal Deficit (as % of GSDP)	3.5%	4.4%

Note: * (+) indicates a surplus and (-) indicates a deficit.
Source: Assam Budget Documents of various years; PRS.

Table 14: Key Components of State's Own Tax Revenue

Head	2024-25 BE	Actuals	% change from BE to Actuals
Stamps Duty and Registration Fees	1,226	650	-47%
Taxes and duties on Electricity	126	86	-32%
Land Revenue	228	161	-30%
Taxes on Vehicles	2,198	1,912	-13%
State Excise	4,101	3,610	-12%
State GST	17,238	15,534	-10%
Sales Tax/ VAT	8,718	7,864	-10%

Source: Assam Budget Documents of various years; PRS.

Table 15: Allocation towards Key Sectors

Sector	2024-25 BE	2024-25 Actuals	% change from BE to Actuals
Water Supply and Sanitation	2,361	1,015	-57%
Rural Development	7,121	3,739	-47%
Agriculture and Allied Activities	6,091	4,782	-21%
Irrigation and Flood Control	3,859	3,033	-21%
Police	7,121	5,951	-16%
Health and Family Welfare	8,399	7,399	-12%
Social Welfare and Nutrition	11,101	9,936	-10%
Welfare of SC, ST, OBC, and Minorities	3,402	3,194	-6%
Education, Sports, Arts, and Culture	23,227	22,731	-2%
Transport	10,146	10,824	7%
of which Roads and Bridges	9,590	10,352	8%
Urban Development	3,127	3,876	24%
Housing	2,895	4,150	43%
Energy	2,615	3,901	49%

Source: Assam Budget Documents of various years; PRS.