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Rajasthan State Budget 2026-27 Analysis

Budget Estimate

Total expenditure, revenue receipts, fiscal deficit, and department-wise allocation for Rajasthan FY 2026-27

Rajasthan State Budget 2026-27 Budget at a Glance

Total Receipts

Rs 3.26 lakh crore

+14.1%

Total Expenditure

Rs 4.06 lakh crore

+12.8%

Fiscal Deficit

3.7%

Rs 79,493 crore

Capital Expenditure

Rs 55,578 crore

+35.7%

Tax Revenue

Rs 2.53 lakh crore

+110.9%

Interest Payments

Rs 43,675 crore

11% of expenditure

Rajasthan Revenue Receipts 2026-27

Own tax revenue vs non-tax revenue breakdown

Tax Revenue
Rs 2.53 lakh crore (89.9%)
Non-Tax Revenue
Rs 28,435 crore (10.1%)

Rajasthan Expenditure Breakdown 2026-27

Revenue vs Capital spending and department allocation

Revenue vs Capital Split

Revenue Expenditure 86.3%
Capital Expenditure 13.7%

Top 10 Departments by Allocation

Fiscal Deficit as % of GSDP โ€” Rajasthan 2026-27

The fiscal deficit for Rajasthan in 2026-27 is 3.7% of GSDP (Rs 79,493 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. Rajasthan's deficit is above this threshold, driven by higher capital spending needs.

Interest payments at Rs 43,675 crore consume 10.8% of total expenditure.

Rajasthan State Budget 2026-27 โ€” Receipts & Expenditure Summary

ParticularsAmount% of Total
A. Total ReceiptsRs 3.26 lakh crore100%
1. Revenue ReceiptsRs 3.26 lakh crore99.9%
a. Own Tax RevenueRs 2.53 lakh crore77.6%
b. Non-Tax RevenueRs 28,435 crore8.7%
B. Total ExpenditureRs 4.06 lakh crore100%
1. Revenue ExpenditureRs 3.5 lakh crore86.3%
2. Capital ExpenditureRs 55,578 crore13.7%
of which: Interest PaymentsRs 43,675 crore10.8%
C. Fiscal DeficitRs 79,493 crore3.7% of GSDP

Source: Rajasthan State Budget Documents via PRS India. All figures in Indian Rupees.

Rajasthan Department-wise Expenditure 2026-27

Top departments by allocation in Rajasthan for 2026-27

Department โ†•Total โ†“Share
1. Education, Sports, Arts and Culture
Rs 68,989 crore
17.0%
2. Energy
Rs 42,752 crore
10.5%
3. Rural Development
Rs 32,948 crore
8.1%
4. Health and Family Welfare
Rs 32,526 crore
8.0%
5. Social Welfare and Nutrition
Rs 26,495 crore
6.5%
6. Urban Development
Rs 20,184 crore
5.0%
7. Agriculture and Allied Activities
Rs 18,212 crore
4.5%
8. Transport
Rs 16,639 crore
4.1%
9. Water Supply and Sanitation
Rs 14,288 crore
3.5%
10. Police
Rs 11,729 crore
2.9%

Rajasthan Budget 2026-27 Analysis & Highlights

Key Highlights

  • Total expenditure (excluding debt repayment) for 2026-27 is budgeted at Rs 4,05,632 crore, up 13% over the 2025-26 revised estimate; with Rs 2,05,324 crore of debt repayment, the gross budget is Rs 6,10,956 crore.
  • Fiscal deficit is targeted at Rs 79,493 crore (3.7% of GSDP), down from 3.9% in the 2025-26 revised estimates but still above the 16th Finance Commission's 3% norm for 2026-31.
  • Revenue deficit compresses 26% to Rs 24,314 crore (1.1% of GSDP), from 1.8% of GSDP in the 2025-26 revised estimates.
  • Capital outlay jumps 37% to Rs 53,978 crore โ€” but Rajasthan underspent its capital budget by 31% in 2024-25 and by 27% as per 2025-26 revised estimates.
  • Rs 15,000 crore in 50-year interest-free SASCI loans from the centre will fund 28% of the 2026-27 capital outlay budget.
  • Revenue receipts are budgeted at Rs 3,25,740 crore (+14%), with own tax revenue at Rs 1,62,668 crore (+17%) lifting the own-tax-to-GSDP ratio to 7.6% from 7.4%.
  • State GST is the largest own-tax source at Rs 72,500 crore (45% of own tax, +18%); stamps and registration fees are budgeted to rise 25% to Rs 18,750 crore.
  • Nominal GSDP is projected at Rs 21,52,100 crore for 2026-27 (+15%), after real GSDP growth of 8.7% in 2025-26 outpaced India's 7.4%.
  • Committed expenditure of Rs 1,68,403 crore (salaries Rs 86,906 crore, pensions Rs 37,821 crore, interest Rs 43,675 crore) absorbs 52% of revenue receipts, down from 61% in 2024-25.
  • Outstanding liabilities are projected at 36.8% of GSDP by end 2026-27 (down from 38% in RE 2025-26), with contingent guarantees of Rs 1,27,210 crore (6.8% of GSDP) on top.
  • Education is the largest sector at Rs 68,989 crore โ€” 17.1% of sectoral spending versus a 14.5% all-states average โ€” including Rs 13,768 crore for Samagra Shiksha.
  • Energy gets Rs 42,752 crore (+24%), including Rs 29,432 crore in grants for non-revision of electricity tariffs; total agricultural subsidies are estimated at Rs 42,191 crore.
  • The new Mukhyamantri Yuva Swarojgar scheme gets Rs 1,000 crore, offering 100% interest subsidy on loans up to Rs 10 lakh for about one lakh youth.

Compare Rajasthan Budget โ€” Recent Years

Year-over-year comparison of key fiscal metrics

Metric2022-232023-242024-252025-262026-27
Total Expenditureโ€”โ€”โ€”Rs 3.59 lakh croreRs 4.06 lakh crore
Revenue Receiptsโ€”โ€”โ€”Rs 2.86 lakh croreRs 3.26 lakh crore
Capital Expenditureโ€”โ€”โ€”Rs 40,956 croreRs 55,578 crore
Fiscal Deficit (% GSDP)โ€”โ€”โ€”3.9%3.7%
Own Tax Revenueโ€”โ€”โ€”Rs 1.2 lakh croreRs 2.53 lakh crore

Columns showing "โ€”" will populate as more data is ingested. Data from official budget documents via PRS India.

Understanding Rajasthan State Budget 2026-27

The Rajasthan 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.

Rajasthan 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.

Compare Rajasthan with other states

Side-by-side comparison of fiscal metrics across Indian states