As Swapan Dasgupta, West Bengal’s Finance Minister under the first BJP-led government since Independence, unveiled the full Budget for the fiscal year 2026-27, projections indicated improvements in revenue and fiscal deficits but a slight increase in the state’s accumulated debt. The revenue deficit for 2026-27 is estimated at Rs 21,984.41 crore, equivalent to 1.02% of the Gross State Domestic Product (GSDP), showing a decline from the previous year’s revised estimate of Rs 41,164.05 crore.
In line with the Budget estimates, the fiscal deficit for 2026-27 is expected to be Rs 62,421.37 crore, representing 2.91% of the GSDP, compared to the revised figure of Rs 67,773.98 crore for the financial year 2025-26. A decrease in the absolute fiscal deficit figure signals an improvement in this aspect.
However, the state government’s accumulated debt is projected to marginally increase to Rs 8,15,891.35 crore by March 31, 2027, up from Rs 7,62,326.6 crore as of March 31, 2026, as per the revised estimates. Notably, the current BJP-led government cannot be held responsible for this rise in debt, as it inherited the burden from the previous Trinamool Congress administration.
During his Budget presentation, the Finance Minister highlighted that the government inherited an accumulated debt exceeding Rs 8.15 lakh crore. Criticism towards the previous administration, led by Mamata Banerjee, revolves around its alleged heavy reliance on market borrowings to finance non-plan and revenue expenditures. The state’s debt load surged from around Rs 1.99 lakh crore in the final year of the Left Front regime to approximately Rs 8.15 lakh crore during the Trinamool Congress’s 15-year tenure.
