In a significant move, Himachal Pradesh has cut its budget size by Rs 3,586 crore for the upcoming fiscal year, bringing it down to Rs 54,928 crore from the current Rs 58,514 crore. Chief Minister Sukhvinder Singh Sukhu explained that this decision was made to address the mounting debt left by the previous government, emphasizing the need to curb unproductive spending. He highlighted the state’s resilient spirit in facing financial challenges and mentioned the identification of the poorest families for special assistance.
The Chief Minister also noted that this year marked the first time since 1952 that the state’s Budget was presented without the Revenue Deficit Grant from the Centre. He outlined plans to uplift the most vulnerable sections of society, particularly focusing on providing support to the poorest families. Under the Mukhya Mantri Apna Sukhi Parivar scheme, one lakh of the most deprived families will receive assistance, including free power units and housing support.
During the Budget speech, CM Sukhu criticized the discontinuation of the Revenue Deficit Grant and the cessation of GST compensation, attributing these factors to the state’s financial difficulties. He accused the previous government of leading Himachal into a debt crisis by not addressing outstanding loans. The session witnessed chaos as opposition legislators protested, but the Chief Minister continued, announcing initiatives like a minimum support price for fish procurement in the fishery sector.
