Lucknow. Uttar Pradesh Finance and Parliamentary Affairs Minister Suresh Kumar Khanna presented the budget for the financial year 2026-27 of the Yogi government in the Assembly. The total size of this budget based on the theme “Nine Years of Nav Nirman” is Rs 9,12,696.35 crore. This is about 12.9% more than the previous financial year 2025-26 and is the largest budget ever in the history of the state. The Finance Minister said that this budget is the result of the state's growing economic potential, investment-friendly environment and strong financial management. There is equal emphasis on growth, financial discipline and preparation for the future. The budget has been prepared keeping in mind farmers, youth, women, students and every section of the society.

Priority to education, health and agriculture

A provision of 19.5% capital expenditure has been made in the budget, which will give impetus to infrastructure, roads, energy, industrial development and urban-rural infrastructure.

Social sectors have also been given prominent place –

Education: 12.4%

Health & Medical: 6%

Agriculture and allied services: 9%

The government's focus is on human resource development and increasing the income of farmers.

Fiscal deficit within 3% limit

The Finance Minister informed that the fiscal deficit in 2026-27 is estimated at Rs 1,18,480.59 crore, which is 2.98% of GSDP. This is within the prescribed limit of 3%. The government has reiterated its commitment to maintain financial discipline. Along with development plans, the budget also focuses on revenue savings and controlled deficit.

Big step from diesel to solar pump

A provision of Rs 637.84 crore has been made for converting diesel pumps into solar pumps in the agriculture sector. This will reduce the costs of farmers and promote clean energy.

Women Farmer Year and strengthening of FPOs

In view of 2026 being declared as the International Year of Women Farmers, a revolving fund of Rs 150 crore will be set up for FPOs. The government will give Rs 75 crore in this.

Loan limit up to Rs 50 lakh for each eligible FPO

• Rs 245 crore for Agri Export Hub
• Chief Minister Krishak Samridhi Yojana: Rs 38 crore
• 2 Lakh MT additional storage capacity: Rs 25 crore
• A provision has also been made to send Rs 16 to 20 thousand directly into the accounts of sanitation workers.
• Special provisions for teachers, staff and girl students
• Cashless medical treatment for Basic Shiksha Parishad workers: Rs 357.84 crore
• For secondary teachers: Rs 89.25 crore
• Free sanitary napkins to girl students: Rs 300 crore
• AI Certification Fee Reimbursement: Rs 10 Crore
• Mukhyamantri Vidyalakshmi Yojana (Interest Subsidy): Rs 30 crore
• MSME, Employment and Film City Project
• Sardar Vallabhbhai Patel Employment and Industrial Zone: Rs 575 crore
• One District One Dish (ODOP Food): Rs 75 crore
• Promote International Film City project
• These schemes will give impetus to employment and investment.

UP AI Mission and Digital Infrastructure

About Rs 2000 crore will be spent in the next three years under 'Uttar Pradesh AI Mission'. There is a provision of Rs 225 crore in 2026-27.

• State Data Center 2.0: Rs 100 crore
• State Data Authority: Rs 10 crore
• To implement public trust principle: Rs 10 crore
• Special focus on women empowerment
• Women Entrepreneur Credit Card Scheme: Rs 200 crore
• Women Product Marketing Scheme: Rs 100 crore
• Women-run showrooms will be arranged at railway stations, bus stations and airports.

improve debt management

The debt-GSDP ratio was 29.3% in 2016-17, which was brought down to 27% in 2024-25. The target is to bring it to 23.1% in 2026-27. The government has reiterated its resolve to bring it down to 20% in a phased manner.

• Capital investment and financial structure
• Total expenditure: Rs 9,12,696.35 crore
• Revenue expenditure: Rs 6,64,470.55 crore
• Capital expenditure: Rs 2,48,225.81 crore
• Revenue Saving: Rs 64,457.57 crore
• Total receipts of the state: Rs 8,48,233.18 crore
• The continuous increase in own tax revenue reflects the economic self-reliance of the state.