Uttar Pradesh tables Rs 8.08 lakh crore Budget for 2025-26: AI, infra, and welfare prioritised

The capital expenditure in the budget stands at 20.5 per cent of the total allocation, highlighting the government's emphasis on industrial expansion, transportation, and investment-driven projects.

Uttar Pradesh Finance Minister Suresh Kumar Khanna presented the state's Rs8,08,736 crore budget for the Financial Year 2025-26 on Thursday, marking a 9.8 per cent increase from the previous fiscal. The budget prioritizes infrastructure development, technology, education, healthcare, and social welfare, aiming to accelerate economic growth and improve public services across the state.

The capital expenditure in the budget stands at 20.5 per cent of the total allocation, highlighting the government's emphasis on industrial expansion, transportation, and investment-driven projects.

Among sectoral allocations, 22 per cent has been earmarked for infrastructure, 13 per cent for education, 11 per cent for agriculture and allied services, 6 per cent for medical and health sectors, and 4 per cent for social security programs.

Additionally, a special provision has been made to equip the Legislative Assembly with modern IT systems, reinforcing the government's focus on digital governance.

A key highlight of the budget is the establishment of an "Artificial Intelligence City" to position Uttar Pradesh as a leading hub for AI-based innovations and technology-driven enterprises. To further support this, the government has proposed the creation of a Technology Research Translation Park in Cybersecurity.

In the education sector, a significant push has been made to integrate technology into learning. Plans are in place to establish ICT labs and smart classrooms in primary and higher secondary schools across the state.

Additionally, government polytechnics will be upgraded with smart classrooms and fully digital libraries, ensuring students have access to modern learning tools. Furthermore, a Centre of Excellence has been proposed to promote Artificial Intelligence and emerging technologies.

The budget also emphasizes urban development, with 58 urban local bodies at district headquarters set to be transformed into model smart urban bodies through the convergence of various schemes. A total allocation of Rs145 crore has been made for this initiative, with Rs2.50 crore assigned to each urban body. Moreover, the government plans to establish and renovate Science City, Science Parks, and Planetariums, fostering a culture of scientific curiosity and innovation among students and researchers.

Uttar Pradesh's budget also includes a range of social welfare measures aimed at improving the quality of life for its citizens. The Uttar Pradesh Building and Other Construction Workers Welfare Board has announced a new scheme to establish labor hubs at district headquarters, equipped with canteens, drinking water facilities, bathing areas, and toilets to improve living conditions for workers.

To encourage higher education among women, the government has introduced a new scheme to provide scooters to meritorious female students, ensuring ease of mobility and greater access to educational institutions.

The Uttar Pradesh government has also focused on strengthening forensic and medical infrastructure. Six new forensic science laboratories are being set up in Ayodhya, Basti, Banda, Azamgarh, Mirzapur, and Saharanpur, enhancing the state's forensic capabilities to improve criminal investigations and law enforcement. In the healthcare sector, the government has proposed an allocated Rs27 crore for the establishment of an autonomous medical college in Ballia and Rs25 crore for a similar institution in Balrampur.

These investments are expected to increase medical seats, improve healthcare access, and strengthen Uttar Pradesh's medical education system.