Odisha State Budget 2026-27 Analysis
Budget EstimateTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Odisha FY 2026-27
Odisha State Budget 2026-27 Budget at a Glance
Total Receipts
Rs 2.48 lakh crore
+7.6%
Total Expenditure
Rs 3.1 lakh crore
+6.9%
Fiscal Deficit
3.5%
Rs 38,800 crore
Capital Expenditure
Rs 72,100 crore
+19.9%
Tax Revenue
Rs 1.37 lakh crore
+108.3%
Interest Payments
Rs 8,200 crore
3% of expenditure
Odisha Revenue Receipts 2026-27
Own tax revenue vs non-tax revenue breakdown
Odisha Expenditure Breakdown 2026-27
Revenue vs Capital spending and department allocation
Revenue vs Capital Split
Top 10 Departments by Allocation
Fiscal Deficit as % of GSDP โ Odisha 2026-27
The fiscal deficit for Odisha in 2026-27 is 3.5% of GSDP (Rs 38,800 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. Odisha is maintaining fiscal discipline close to the recommended limit.
Interest payments at Rs 8,200 crore consume 2.6% of total expenditure.
Odisha State Budget 2026-27 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 2.71 lakh crore | 100% |
| 1. Revenue Receipts | Rs 2.48 lakh crore | 91.6% |
| a. Own Tax Revenue | Rs 1.37 lakh crore | 50.7% |
| b. Non-Tax Revenue | Rs 71,000 crore | 26.2% |
| B. Total Expenditure | Rs 3.1 lakh crore | 100% |
| 1. Revenue Expenditure | Rs 2.15 lakh crore | 69.5% |
| 2. Capital Expenditure | Rs 72,100 crore | 23.3% |
| of which: Interest Payments | Rs 8,200 crore | 2.6% |
| C. Fiscal Deficit | Rs 38,800 crore | 3.5% of GSDP |
Source: Odisha State Budget Documents via PRS India. All figures in Indian Rupees.
Odisha Department-wise Expenditure 2026-27
Top departments by allocation in Odisha for 2026-27
| Department โ | Revenue โ | Capital โ | Total โ | Share |
|---|---|---|---|---|
1. Education, Sports, Arts & Culture | Rs 28,771 crore | Rs 9,626 crore | Rs 38,397 crore | 12.4% |
2. Social Welfare & Nutrition | Rs 24,431 crore | Rs 8,174 crore | Rs 32,605 crore | 10.5% |
3. Rural Development | Rs 18,248 crore | Rs 6,105 crore | Rs 24,353 crore | 7.9% |
4. Health & Family Welfare | Rs 16,863 crore | Rs 5,642 crore | Rs 22,505 crore | 7.3% |
5. Agriculture & Allied Activities | Rs 16,514 crore | Rs 5,525 crore | Rs 22,039 crore | 7.1% |
6. Roads & Bridges (Works) | Rs 16,086 crore | Rs 5,382 crore | Rs 21,468 crore | 6.9% |
7. Irrigation & Flood Control | Rs 13,379 crore | Rs 4,476 crore | Rs 17,855 crore | 5.8% |
8. Water Supply & Sanitation | Rs 9,223 crore | Rs 3,086 crore | Rs 12,309 crore | 4.0% |
9. Police | Rs 5,321 crore | Rs 1,780 crore | Rs 7,101 crore | 2.3% |
10. Welfare of SC, ST, OBC & Minorities | Rs 4,812 crore | Rs 1,610 crore | Rs 6,422 crore | 2.1% |
Odisha Budget 2026-27 Analysis & Highlights
Key Highlights
- Total outlay of Rs 3,10,000 crore for FY2026-27 โ 16.2% above the Rs 2,66,800 crore budgeted for 2025-26 and 6.9% above the 2025-26 revised estimate of Rs 2,90,000 crore.
- Capital outlay of Rs 72,100 crore rises 20% year-on-year to reach 23.3% of the total budget, equal to 6.5% of GSDP.
- Fiscal deficit pegged at Rs 38,800 crore, or 3.5% of GSDP โ the second straight year at 3.5%, after the 2025-26 deficit was revised up from a budgeted 3.2%.
- Revenue surplus of Rs 33,000 crore (3% of GSDP) means all borrowing funds capital creation rather than current spending.
- Non-tax revenue of Rs 71,000 crore (up 18%) exceeds the state's own-tax revenue of Rs 70,000 crore โ about 75% of it flows from mining royalties and premiums.
- Central transfers diverge: tax devolution rises 7% to Rs 67,460 crore while grants-in-aid fall 5% to Rs 40,040 crore as GST compensation (Rs 3,335 crore in 2025-26) drops to nil.
- Subhadra Yojana receives Rs 10,145 crore, the largest single scheme allocation; the social welfare and nutrition sector rises 11% to Rs 32,605 crore.
- Education remains the top sector at Rs 38,397 crore, though its 2% growth trails overall budget expansion.
- Rural development is the fastest-growing major head, up 23% to Rs 24,353 crore; roads and bridges get Rs 21,468 crore (up 9%).
- Irrigation and flood control rises 17% to Rs 17,855 crore and water supply and sanitation 15% to Rs 12,309 crore, including Rs 7,000 crore for Jal Jeevan Mission.
- Agriculture and allied activities falls 13% to Rs 22,039 crore against an elevated 2025-26 revised base; Samrudha Krushaka Yojana is funded at Rs 6,088 crore.
- Outstanding liabilities projected at 14.1% of GSDP at end-2026-27 (up from 13.1%); interest payments of Rs 8,200 crore absorb only 3.3% of revenue receipts.
- Gross borrowings jump 48% to Rs 47,800 crore from Rs 32,400 crore in 2025-26 RE; GSDP is projected at Rs 11.07 lakh crore, implying 12% nominal growth.
Compare Odisha Budget โ Recent Years
Year-over-year comparison of key fiscal metrics
| Metric | 2022-23 | 2023-24 | 2024-25 | 2025-26 | 2026-27 |
|---|---|---|---|---|---|
| Total Expenditure | โ | โ | โ | Rs 2.9 lakh crore | Rs 3.1 lakh crore |
| Revenue Receipts | โ | โ | โ | Rs 2.31 lakh crore | Rs 2.48 lakh crore |
| Capital Expenditure | โ | โ | โ | Rs 60,153 crore | Rs 72,100 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 3.5% | 3.5% |
| Own Tax Revenue | โ | โ | โ | Rs 66,000 crore | Rs 1.37 lakh crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding Odisha State Budget 2026-27
The Odisha 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.
Odisha 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 Odisha with other states
Side-by-side comparison of fiscal metrics across Indian states