The Assam Interim Budget 2026-27 has set an ambitious tone ahead of the Assembly elections. Finance Minister Ajanta Neog presented a ₹62,294.78 crore Vote on Account budget, outlining the government’s roadmap for economic growth, employment generation, social welfare expansion, and infrastructure development.
The State aims to become a ₹10 lakh crore economy by 2028, strengthen youth employment, expand welfare schemes like Orunodoi and Nijut Moina, and boost capital expenditure. For APSC aspirants, this budget is highly important for Prelims, Mains (GS 3, GS 5), and interviews.
Assam Interim Budget 2026-27: Overview:
The government emphasized that Assam is currently among the fastest-growing states in India, as per RBI data.
Economic Growth and Fiscal Performance:
Strong GSDP Expansion:
Assam’s Gross State Domestic Product (GSDP) has shown strong growth:
- Firstly, GSDP increased from ₹4,10,724 crore (2021-22) to ₹7,45,293 crore (2025-26).
- Similarly, at constant prices, the economy expanded by 45% between 2019-20 and 2024-25, higher than the national average.
- On the other hand, per capita income doubled from ₹86,947 (2020-21) to ₹1,85,429 (2025-26) — a 113% rise.
However, despite this growth, Assam still ranks among the lower five states in per capita income. This gap highlights that aggregate growth has not yet fully translated into high income levels.
Revenue and Borrowing Trends:
The Finance Minister highlighted improvements in fiscal management:
- Own tax revenue grew at an average rate of 13% in the last five years.
- Own-source revenue now contributes 37% of total receipts, compared to 30% a decade ago.
- Budget utilization improved from 58% (2015-16) to 85% (2024-25).
- The State built reserves of nearly ₹10,000 crore in sinking and redemption funds.
- Debt remains controlled with a 25.52% debt-to-GSDP ratio, within permissible limits.
At the same time, the State still depends significantly on Central devolution and externally-aided projects.
Employment and Youth-Centric Initiatives:
Government Jobs and Transparent Recruitment:
- The government has made recruitment processes transparent and fair.
- Moreover, the government has formed a committee to create a 5-year roadmap for maximizing government job opportunities.
This initiative directly addresses youth concerns and remains a key political and administrative priority.
Chief Minister’s Atmanirbhar Asom Abhiyaan (CMAAA):
The Chief Minister’s Atmanirbhar Asom Abhiyaan (CMAAA) has become a major self-employment initiative.
- The government plans to expand benefits to 5 lakh more youths.
- Furthermore, existing beneficiaries will receive linkages with the MUDRA Scheme, PMEGP and other central employment schemes.
This convergence approach aims to scale small businesses and strengthen MSMEs.
Youth-Driven Urban and Industrial Growth:
For youth driven urban and industrial growth, the Government of Assam is planning a youth-driven logistics support framework. At the same time, the government is also building a twin-city development corridor connecting Guwahati, Jagiroad and Palashbari.
This corridor aims to generate employment-led infrastructure growth.
Education and Skill Development:
AI and Industry 4.0 in Universities:
The government plans to transform vishwavidyalayas into hubs of the future by introducing Artificial Intelligence, promoting Industry 4.0 skills and enhancing employability of students.
This move aligns with modern economic demands and digital transformation.
Nijut Moina and Nijut Babu Schemes:
Nijut Moina Scheme:
The Mukhya Mantrir Nijut Moina Asoni has shown measurable success:
- Dropout reduced by 8.2% (2023-24 to 2024-25).
- Gross Enrollment Ratio increased:
- 4.2% at secondary level
- 7.5% at senior secondary level
- Over 5.5 lakh girl students receive ₹1,000–₹2,500 monthly assistance.
- The government committed ₹260 crore for this scheme.
Nijut Babu Scheme:
- ₹1,000–₹2,000 monthly assistance.
- Covers 47,428 boys from economically weaker families.
These schemes directly impact education indicators and social empowerment.
Social Welfare Schemes Expansion:
Orunodoi Scheme:
The Orunodoi Scheme has become the largest social assistance program in Assam’s history.
- The coverage of this scheme expanded from 19 lakh families (2021) to nearly 40 lakh families.
- Moreover, the scheme includes Divyangjan, Transgender persons and Vulnerable groups.
- The government plans to Enhance financial assistance and converge Orunodoi with:
- NFSA
- PMAY-Gramin
- PMAY-Urban
- PMSBY
- PJJBY
- APY
This integrated welfare model strengthens social security coverage.
Mukhyamantri Mahila Udyamita Abhiyaan:
Under this scheme:
- 30.63 lakh women received ₹10,000 seed capital.
- 8.80 lakh women emerged as Lakhpati Baideo.
- Women SHG members now actively drive the rural economy.
This initiative supports women-led economic empowerment.
Health Sector Expansion:
The government has committed:
- ₹5,500 crore investment. At the same time, it has committed for construction of 10 new medical colleges and the addition of 4,500 hospital beds.
This expansion will strengthen healthcare infrastructure across Assam.
Peace and Law Enforcement Achievements:
Surrender and Rehabilitation:
- Since 2021, approximately 9,022 former militants have surrendered. Moreover, 1,012 sophisticated weapons were deposited.
- Rehabilitation is provided under surrender-cum-rehabilitation framework.
Anti-Drug Campaign:
- 24,000+ drug-related arrests and drugs worth ₹3,001 crore seized in five years. These efforts highlight improved internal security and law enforcement.
Tea Workers and Welfare Announcements:
The government plans to:
- Announce a wage hike for tea workers.
- Provide permanent land rights to 3.5 lakh workers of 800 tea estates.
This step addresses long-standing socio-economic issues in tea garden communities.
Banking and Credit Indicators:
The budget speech highlighted improvements in financial inclusion:
- Credit-Deposit Ratio improved from 56.09% (2021) to 74.48% (2025).
- Priority-sector advances totalled ₹3.69 lakh crore.
- Externally-aided projects expanded from ₹15,000 crore (2021) to ₹56,000 crore.
These indicators show improved banking penetration and credit support to agriculture and MSMEs.
Conclusion: Assam’s Road to a ₹10 Lakh Crore Economy
The Assam Interim Budget 2026-27 presents a vision of a “Viksit Assam” built on employment, welfare expansion, fiscal discipline, and infrastructure growth. The government aims to combine economic expansion with social security and youth empowerment.
However, while growth numbers remain impressive, the challenge lies in improving per capita income levels and reducing dependency on external funding.
For APSC aspirants, understanding the highlights of Assam Interim Budget 2026-27 will help in Prelims fact-based questions, Mains analytical answers, and questions asked in interviews on Assam’s development trajectory.
If you are preparing for APSC, make sure you revise these data points carefully and link them with broader economic concepts like fiscal deficit, capital expenditure, debt sustainability, and inclusive growth.
Sources:
https://www.thehindu.com/news/national/assam/assam-govt-interim-budget/article70642759.ece
The Assam Interim Budget 2026-27 has a total outlay of ₹62,294.78 crore, presented as a Vote on Account by Finance Minister Ajanta Neog.
The budget aims to make Assam a ₹10 lakh crore economy by 2028, with a projected GSDP of ₹8.71 lakh crore in 2026-27.
The Assam Interim Budget 2026-27 for APSC is important for GS 3, GS 5, especially topics like GSDP growth, fiscal management, and state welfare schemes.
The budget expanded schemes like Orunodoi, Nijut Moina, and Mukhyamantri Mahila Udyamita Abhiyaan to strengthen social security and women’s empowerment.
The debt-to-GSDP ratio stands at 25.52%, which remains within permissible fiscal limits, showing controlled borrowing.
