On Thursday, Uttar Pradesh Finance Minister Suresh Kumar Khanna unveiled the state's Rs 8,08,736 crore budget for the fiscal year 2025–2026. With a 9.8% increase over the previous year, the budget prioritizes education, urban development, information technology, and research and development while also establishing significant social welfare programs.
UP Budget 2025: Sector-wise Allocation
| Category | Details |
| Total Budget | ₹8,08,736 crore |
| Increase | 9.8% higher than the previous budget |
| Sector-wise Allocation | 22% for Development |
| 13% for Education | |
| 11% for Agriculture | |
| 6% for Health |
UP Budget 2025 Key Highlights
In comparison to the previous fiscal year's budget of Rs 7,36,437 crore, which included new initiatives of Rs 24,863.57 crore, the overall budget for the 2025–26 fiscal year marks a significant 9.8% rise.
Technology & Innovation
Uttar Pradesh is set to establish an "Artificial Intelligence City" to position itself as a leader in AI innovation. A Technology Research Translation Park focused on cybersecurity is also in the pipeline. Additionally, the state legislative assembly will be modernized with advanced IT systems.
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Education & Skill Development
The budget includes plans for ICT labs and smart classrooms in primary and secondary schools to enhance digital learning. Government polytechnics will be upgraded with smart classrooms and digital libraries. A Centre of Excellence for AI and emerging technologies will be developed. To encourage higher education among female students, a new scheme will provide scooters to meritorious students.
Urban Development & Infrastructure
A total of ₹145 crore has been allocated to convert 58 urban local bodies into model smart cities. The UP government will also upgrade Science City, Science Parks, and Planetariums in the state in order to encourage interest in science among youth.
Social Welfare & Labor Initiatives
Yogi government will create new labor hubs for construction workers, offering services like canteens, clean water, bathing areas, and toilets. This will help the construction workers to make their work lives better. The budget also includes the establishment of six new forensic science labs in Ayodhya, Basti, Banda, Azamgarh, Mirzapur, and Saharanpur.
Healthcare & Medical Education
To improve healthcare access, ₹27 crore has been allocated for a new autonomous medical college in Ballia, while ₹25 crore will be used to set up another in Balrampur.
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