Assam Assembly passes Rs 2.85 lakh crore budget for 2026-27

The Assam Assembly on July 23 passed the Rs 2.85 lakh crore Budget for the 2026-27 financial year, paving the way for the implementation of the state government's fiscal roadmap focused on welfare, infrastructure, employment and industrial growth.

The Budget was approved with the passage of The Assam Appropriation (No. II) Bill, 2026, with Speaker Ranjeet Kumar Dass announcing its adoption in the House.

Finance Minister Jayanta Malla Baruah had presented his maiden Budget on July 10, proposing a total outlay of Rs 2,85,084 crore.

The Budget includes a four-fold increase in the tax exemption limit for small tea growers and nearly a 10-percentage-point reduction in VAT on piped natural gas to boost the sector and encourage cleaner fuel usage.

Baruah also announced the continuation of all major welfare schemes launched over the past five years. However, he said individuals practising polygamy would be ineligible for government welfare benefits, while government employees found guilty of the practice would face dismissal.

The Budget also proposes the introduction of a 'green cess' on polluting sectors as part of the state's environmental sustainability initiatives.

In a major employment push, the government has committed to recruiting two lakh people over the next five years by filling existing vacancies and creating new posts across various departments.

The Budget projects a fiscal deficit of Rs 419.26 crore, while targeting a fiscal deficit of 3 per cent of the state's projected Gross State Domestic Product (GSDP), in line with fiscal responsibility norms.