West Bengal State Budget 2025-26 Analysis
Budget EstimateTotal expenditure, revenue receipts, fiscal deficit, and department-wise allocation for West Bengal FY 2025-26
West Bengal State Budget 2025-26 Budget at a Glance
Total Receipts
Rs 2.68 lakh crore
+13.6%
Total Expenditure
Rs 3.41 lakh crore
+12.3%
Fiscal Deficit
3.6%
Rs 73,178 crore
Capital Expenditure
Rs 37,863 crore
+5.6%
Tax Revenue
Rs 1.15 lakh crore
+12.4%
Interest Payments
Rs 49,178 crore
14% of expenditure
West Bengal Revenue Receipts 2025-26
Own tax revenue vs non-tax revenue breakdown
West Bengal 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 West Bengal 2025-26
The fiscal deficit for West Bengal in 2025-26 is 3.6% of GSDP (Rs 73,178 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. West Bengal's deficit is above this threshold, driven by higher capital spending needs.
Interest payments at Rs 49,178 crore consume 14.4% of total expenditure.
West Bengal State Budget 2025-26 โ Receipts & Expenditure Summary
| Particulars | Amount | % of Total |
|---|---|---|
| A. Total Receipts | Rs 3.89 lakh crore | 100% |
| 1. Revenue Receipts | Rs 2.68 lakh crore | 68.9% |
| a. Own Tax Revenue | Rs 1.15 lakh crore | 29.5% |
| b. Non-Tax Revenue | Rs 7,200 crore | 1.8% |
| B. Total Expenditure | Rs 3.41 lakh crore | 100% |
| 1. Revenue Expenditure | Rs 3.04 lakh crore | 88.9% |
| 2. Capital Expenditure | Rs 37,863 crore | 11.1% |
| of which: Interest Payments | Rs 49,178 crore | 14.4% |
| C. Fiscal Deficit | Rs 73,178 crore | 3.6% of GSDP |
Source: West Bengal State Budget Documents via PRS India. All figures in Indian Rupees.
West Bengal Department-wise Expenditure 2025-26
Top departments by allocation in West Bengal for 2025-26
| Department โ | Revenue โ | Capital โ | Total โ | Share |
|---|---|---|---|---|
1. Education | Rs 42,000 crore | Rs 3,500 crore | Rs 45,500 crore | 13.3% |
2. Rural Development | Rs 22,000 crore | Rs 5,000 crore | Rs 27,000 crore | 7.9% |
3. Health & Family Welfare | Rs 18,000 crore | Rs 3,000 crore | Rs 21,000 crore | 6.2% |
4. Social Welfare | Rs 18,000 crore | Rs 2,000 crore | Rs 20,000 crore | 5.9% |
5. Police & Home | Rs 16,000 crore | Rs 2,000 crore | Rs 18,000 crore | 5.3% |
6. Agriculture & Allied | Rs 14,000 crore | Rs 2,500 crore | Rs 16,500 crore | 4.8% |
7. Urban Development | Rs 12,000 crore | Rs 4,000 crore | Rs 16,000 crore | 4.7% |
8. Transport & Roads | Rs 8,000 crore | Rs 7,000 crore | Rs 15,000 crore | 4.4% |
9. Water Supply & Sanitation | Rs 5,500 crore | Rs 4,500 crore | Rs 10,000 crore | 2.9% |
10. Water Resources & Irrigation | Rs 4,500 crore | Rs 5,000 crore | Rs 9,500 crore | 2.8% |
West Bengal Budget 2025-26 Analysis & Highlights
Key Highlights
- Total expenditure budgeted at Rs 3,71,000 crore โ among the highest for any Indian state.
- Fiscal deficit estimated at Rs 77,000 crore, around 4.2% of GSDP, well above FRBM norms.
- Revenue deficit persists at Rs 28,000 crore, indicating structural current account imbalance.
- Kanyashree and Lakshmir Bhandar direct transfer schemes for women consume Rs 14,000 crore.
- Education spending at Rs 45,000 crore โ highest among all states in absolute terms.
- Health allocation at Rs 22,000 crore includes Swasthya Sathi universal health coverage expansion.
- Outstanding debt exceeds Rs 6,50,000 crore with debt-to-GSDP ratio above 35%.
- Interest payments consume Rs 52,000 crore โ nearly 20% of revenue receipts.
- Own tax revenue target of Rs 98,000 crore lags behind similarly sized states.
- Capital expenditure at Rs 48,000 crore focuses on metro expansion and road connectivity.
- Central transfers at Rs 1,10,000 crore constitute roughly 40% of revenue receipts.
- Agriculture spending targets crop diversification from rice to horticulture and floriculture.
Compare West Bengal 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 3.04 lakh crore | Rs 3.41 lakh crore |
| Revenue Receipts | โ | โ | โ | Rs 2.36 lakh crore | Rs 2.68 lakh crore |
| Capital Expenditure | โ | โ | โ | Rs 35,866 crore | Rs 37,863 crore |
| Fiscal Deficit (% GSDP) | โ | โ | โ | 3.6% | 3.6% |
| Own Tax Revenue | โ | โ | โ | Rs 1.02 lakh crore | Rs 1.15 lakh crore |
Columns showing "โ" will populate as more data is ingested. Data from official budget documents via PRS India.
Understanding West Bengal State Budget 2025-26
The West Bengal 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.
West Bengal 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.
Explore More
Compare West Bengal with other states
Side-by-side comparison of fiscal metrics across Indian states