Uttar Pradesh Finance Minister Suresh Kumar Khanna presented the state’s Rs 8,08,736 crore budget for the Financial Year 2025-26 on Thursday, marking a 9.8% increase over the previous fiscal year. This comprehensive budget prioritizes infrastructure, technology, education, healthcare, and social welfare, aiming to fuel economic growth and enhance public services across the state.
A key highlight of the budget is the capital expenditure, which constitutes 20.5% of the total allocation. This reflects the government’s strong focus on industrial growth, transportation, and investment-driven projects.
Sectoral breakdowns include 22% earmarked for infrastructure development, 13% for education, 11% for agriculture and allied services, 6% for healthcare, and 4% for social security programs. The budget also includes a special provision for modernizing the Legislative Assembly with cutting-edge IT systems, reinforcing the state’s commitment to digital governance.
One of the standout features of the budget is the establishment of an “Artificial Intelligence City” to position Uttar Pradesh as a hub for AI innovation and technology-driven businesses. Additionally, the government has proposed the creation of a Technology Research Translation Park in the field of Cybersecurity.
In the education sector, the budget places a significant emphasis on integrating technology into the learning process. Plans include the establishment of ICT labs and smart classrooms in primary and higher secondary schools across the state. Furthermore, government polytechnics will be upgraded with smart classrooms and fully digital libraries, providing students with access to modern educational tools. The creation of a Centre of Excellence for Artificial Intelligence and emerging technologies is also part of the government’s educational reforms.
Urban development is another key focus, with 58 urban local bodies at district headquarters set to be transformed into model smart cities. A total of Rs 145 crore has been allocated for this initiative, with Rs 2.5 crore assigned to each urban body. The government also plans to build and renovate Science Cities, Science Parks, and Planetariums to promote scientific curiosity and innovation among students and researchers.
On the social welfare front, the Uttar Pradesh Building and Other Construction Workers Welfare Board has launched a new scheme to establish labor hubs at district headquarters, providing workers with amenities such as canteens, drinking water, bathing areas, and toilets, significantly improving their living conditions.
To encourage higher education among women, the government has introduced a scheme to provide scooters to meritorious female students, enhancing mobility and access to educational institutions.
The budget also addresses the strengthening of forensic and medical infrastructure. Six new forensic science laboratories are being set up in Ayodhya, Basti, Banda, Azamgarh, Mirzapur, and Saharanpur to bolster the state’s forensic capabilities and improve criminal investigations. In healthcare, the government has allocated Rs 27 crore for the establishment of an autonomous medical college in Ballia and Rs 25 crore for a similar institution in Balrampur. These investments aim to increase medical seats, improve healthcare access, and enhance the state’s medical education system.
This comprehensive budget is a significant step in Uttar Pradesh’s development, focusing on technology, infrastructure, education, healthcare, and welfare initiatives to improve the lives of its citizens.
