By Our Reporter
SHILLONG, Feb 1: The Union Budget 2026-27 has allocated over Rs 328 crore to Meghalaya under various Finance Commission grants to strengthen grassroots governance, urban services, and disaster preparedness.
The allocations include Rs 190 crore for Rural Local Bodies (RLB), Rs 49 crore for Urban Local Bodies (ULB), Rs 63 crore for the State Disaster Response Fund (SDRF), and Rs 16.20 crore for the State Disaster Mitigation Fund (SDMF).
A Joint Secretary in the State Finance Department said these funds will bolster local self-governance, improve civic services in urban areas, and enhance disaster response capabilities. However, the official noted that Meghalaya’s needs remain high due to climate vulnerabilities, high infrastructure costs, and challenges in remote and border areas.
The State is reviewing the 16th Finance Commission recommendations and their impact on its fiscal capacity and long-term planning. Policy and budgetary actions will follow a detailed assessment.
On tax devolution, the official said Meghalaya’s share in the national divisible pool has moderated due to changes in horizontal criteria, including greater weightage to the 2011 population census, income distance recalibration, demographic performance indicators, and a new GDP contribution parameter. These adjustments have limited untied fiscal space for hill states like Meghalaya, despite their structural and geographic challenges.
The State welcomed the Budget’s focus on fiscal discipline, public investment, inclusive growth, and balanced regional development under the Viksit Bharat vision. The increased public capital expenditure to Rs 12.2 lakh crore nationwide, along with enhanced Special Assistance to States for Capital Investment (SASCI) at Rs 1.85 lakh crore, will support infrastructure growth in Meghalaya.
The Budget reinforces priority for the North-Eastern Region through improved connectivity, tourism, agriculture, healthcare, and skilling. Key sectoral highlights include a Rs 10,000 crore SME Growth Fund for micro and women-led enterprises; tourism initiatives like a National Institute of Hospitality, sustainable models, and upskilling 10,000 tourist guides; education measures such as University Townships, girls’ hostels in STEM institutions, and Education-to-Employment frameworks; healthcare expansions in allied institutions and emergency care; and agriculture support through agar cultivation, AI advisory services, and SHE-Marts.
Empowerment measures for Divyangjan include the Divyang Sahara Yojana for assistive devices and technology marts.
Conrad welcomes Budget
Chief Minister Conrad K. Sangma has welcomed the Union Budget, stating that it lays out a clear roadmap for sustained economic growth with special emphasis on the Northeastern region.
In a post on X, the Chief Minister commended the Finance Minister for presenting what he described as a holistic budget and said the focus on the Northeast reflected the Union government’s resolve to transform the region into a growth engine of the East.
Sangma also expressed gratitude to Prime Minister Narendra Modi, stating that the budget aligns with the Centre’s commitment to people-centric governance and inclusive national development.
The Chief Minister referred to the budget as part of the Viksit Bharat vision, which outlines long-term priorities for national economic growth and regional development, including targeted attention to the Northeastern states.
