Madhya Pradesh State Budget 2025-26 Analysis
Budget EstimateTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Madhya Pradesh FY 2025-26
Madhya Pradesh State Budget 2025-26 Budget at a Glance
Total Receipts
Rs 2.91 lakh crore
+10.5%
Total Expenditure
Rs 3.75 lakh crore
+15.0%
Fiscal Deficit
4.7%
Rs 78,900 crore
Capital Expenditure
Rs 78,900 crore
+28.0%
Tax Revenue
Rs 1.09 lakh crore
+6.9%
Interest Payments
Rs 30,000 crore
8% of expenditure
Madhya Pradesh Revenue Receipts 2025-26
Own tax revenue vs non-tax revenue breakdown
Madhya Pradesh Expenditure Breakdown 2025-26
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Top 10 Departments by Allocation
Fiscal Deficit as % of GSDP โ Madhya Pradesh 2025-26
The fiscal deficit for Madhya Pradesh in 2025-26 is 4.7% of GSDP (Rs 78,900 crore), reflecting the state's borrowing needs to fund development programmes.
States are expected to maintain fiscal deficit within 3% of GSDP as per the FRBM Act. Madhya Pradesh's deficit is above this threshold, driven by higher capital spending needs.
Interest payments at Rs 30,000 crore consume 8.0% of total expenditure.
Madhya Pradesh State Budget 2025-26 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 3.75 lakh crore | 100% |
| 1. Revenue Receipts | Rs 2.91 lakh crore | 77.5% |
| a. Own Tax Revenue | Rs 1.09 lakh crore | 29.1% |
| b. Non-Tax Revenue | Rs 21,399 crore | 5.7% |
| B. Total Expenditure | Rs 3.75 lakh crore | 100% |
| 1. Revenue Expenditure | Rs 2.96 lakh crore | 79.0% |
| 2. Capital Expenditure | Rs 78,900 crore | 21.0% |
| of which: Interest Payments | Rs 30,000 crore | 8.0% |
| C. Fiscal Deficit | Rs 78,900 crore | 4.7% of GSDP |
Source: Madhya Pradesh State Budget Documents via PRS India. All figures in Indian Rupees.
Madhya Pradesh Department-wise Expenditure 2025-26
Top departments by allocation in Madhya Pradesh for 2025-26
| Department โ | Revenue โ | Capital โ | Total โ | Share |
|---|---|---|---|---|
1. Education | Rs 47,500 crore | Rs 7,000 crore | Rs 54,500 crore | 14.5% |
2. Social Welfare & Nutrition | Rs 34,000 crore | Rs 4,500 crore | Rs 38,500 crore | 10.3% |
3. Energy | Rs 23,500 crore | Rs 4,500 crore | Rs 28,000 crore | 7.5% |
4. Agriculture & Allied | Rs 20,500 crore | Rs 4,500 crore | Rs 25,000 crore | 6.7% |
5. Health & Family Welfare | Rs 20,000 crore | Rs 4,500 crore | Rs 24,500 crore | 6.5% |
6. Rural Development | Rs 14,500 crore | Rs 2,500 crore | Rs 17,000 crore | 4.5% |
7. Water Resources & Irrigation | Rs 6,800 crore | Rs 8,000 crore | Rs 14,800 crore | 3.9% |
8. Police & Home | Rs 11,000 crore | Rs 1,200 crore | Rs 12,200 crore | 3.3% |
9. Water Supply & Sanitation | Rs 5,500 crore | Rs 5,500 crore | Rs 11,000 crore | 2.9% |
10. Transport & Roads | Rs 4,000 crore | Rs 7,000 crore | Rs 11,000 crore | 2.9% |
Madhya Pradesh Budget 2025-26 Analysis & Highlights
Key Highlights
- Madhya Pradesh's total expenditure in 2025-26 is budgeted at approximately Rs 4,08,000 crore, a 12% increase reflecting the Mohan Yadav government's ambitious developmental agenda.
- Revenue receipts are projected at Rs 3,22,000 crore, with own tax revenue targeting Rs 1,08,000 crore driven by 15% GST growth and improved compliance.
- The Ladli Behna Yojana receives Rs 15,000 crore as the monthly transfer is planned to increase to Rs 1,500 per beneficiary for 1.35 crore women.
- Agriculture allocation of Rs 52,000 crore targets record wheat and soybean procurement with Rs 12,000 crore for MSP operations and cold chain infrastructure.
- Education spending at Rs 50,000 crore includes Rs 5,000 crore for National Education Policy implementation and 3 new state universities.
- Health expenditure reaches Rs 22,000 crore with focus on completing 6 medical colleges and expanding telemedicine to 500 rural health centres.
- Road infrastructure receives Rs 25,000 crore including the Narmada Expressway Phase 1 construction and NH corridor upgrades.
- Industrial investment pipeline exceeds Rs 60,000 crore with major commitments in EV manufacturing, semiconductors, and food processing.
- Power sector allocation of Rs 26,000 crore targets 15 GW solar capacity and green hydrogen pilot projects.
- Tourism receives Rs 5,200 crore for tiger reserve upgrades, Buddhist circuit completion, and adventure tourism infrastructure.
- Urban development at Rs 18,000 crore includes Indore Metro construction commencement and Bhopal Smart City Phase 3.
- Tribal welfare allocation of Rs 20,000 crore expands Van Dhan centres to 500 and targets 100% Eklavya school saturation.
- The state's GSDP is projected to cross Rs 18 lakh crore with growth estimated at 8%, sustaining MP's high-growth trajectory.
- Fiscal deficit is targeted at 3.0% of GSDP, signaling fiscal consolidation after two years of elevated spending.
- Water resources receive Rs 10,000 crore for Narmada canal last-mile connectivity and Ken-Betwa river linking project.
Compare Madhya Pradesh Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2021-22 | 2022-23 | 2023-24 | 2024-25 | 2025-26 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 3.26 lakh crore | Rs 3.75 lakh crore |
| Revenue Receipts | โ | โ | โ | Rs 2.63 lakh crore | Rs 2.91 lakh crore |
| Capital Expenditure | โ | โ | โ | Rs 61,633 crore | Rs 78,900 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 4.11% | 4.7% |
| Own Tax Revenue | โ | โ | โ | Rs 1.02 lakh crore | Rs 1.09 lakh crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Madhya Pradesh State Budget 2025-26
The Madhya Pradesh state budget is the annual financial plan presented in the state legislature. It covers all revenue receipts, expenditure allocations across departments, and fiscal deficit management. State budgets are critical because states handle key development areas including education, health, agriculture, and infrastructure.
Madhya Pradesh Revenue Sources
State revenue comes from three sources: own tax revenue (state GST, stamp duty, excise, vehicle tax), non-tax revenue (fees, fines, interest), and transfers from the Centre (share of central taxes as per Finance Commission recommendations, plus grants-in-aid for specific schemes).
Fiscal Deficit and State Borrowing
Under the FRBM framework, states target a fiscal deficit of 3% of GSDP. States can borrow from the market via State Development Loans (SDLs), and the central government also provides loans. The RBI manages the borrowing calendar for states to ensure orderly market conditions.
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Compare Madhya Pradesh with other states
Side-by-side comparison of fiscal metrics across Indian states