Mumbai: Maharashtra Chief Minister Devendra Fadnavis, who also holds the Finance portfolio, presented the State Budget for 2026-27 on Friday, becoming the first Chief Minister in the state to personally present the Budget while serving in office.
The Budget outlines an ambitious roadmap focusing on farm relief, infrastructure expansion, economic growth, and technology-driven governance, with the state targeting a $5 trillion economy by 2047.
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Major Relief for Farmers
One of the most significant announcements was a farm loan waiver of up to ₹2 lakh under the Punyashlok Ahilyabai Holkar Farmers’ Loan Waiver Scheme. The waiver will apply to loans taken until September 3, 2025.
In addition, the government announced an incentive of up to ₹50,000 for farmers who have consistently paid their loan instalments on time, rewarding financial discipline in the agricultural sector.
The government also plans to expand support systems for farmers through digital agriculture tools and artificial intelligence. Platforms such as Agristack, Mahavedh, CropSap, MahaDBT, and Cooperative Stack will be integrated to provide better data access and services.
Key Infrastructure Announcements
The Budget placed strong emphasis on infrastructure development across Maharashtra.
Among the key projects announced are:
- Nagpur–Gondia–Bhandara–Gadchiroli Expressway to improve connectivity in eastern Maharashtra
- Construction of over 1,000 km of metro lines across major cities
- Development of 6,000 km of two-lane highways across the state
- Concrete roads connecting all villages with population above 1,000
The government also announced that NITI Aayog will prepare a development roadmap for Nagpur, Pune, Nashik and Chhatrapati Sambhajinagar, creating growth hubs similar to the Mumbai Metropolitan Region (MMR).
Housing and Urban Development
The Chief Minister said 3.57 lakh houses will be completed under the Pradhan Mantri Awas Yojana, while additional subsidies will be provided for installing rooftop solar panels on these homes.
In the Mumbai region, the government announced plans for major urban expansion:
- Development of “Mumbai 3.0” near the Atal Setu corridor, including Karnala, Pen and Navi Mumbai Airport regions
- Development of “Mumbai 4.0” in Vadhwan and Palghar
- Redevelopment of 20 lakh slum houses and construction of 10 lakh affordable homes
A GIS-based “No New Slum Framework” will also be implemented to prevent illegal construction in the Mumbai Metropolitan Region.
Economy and Industrial Growth
The state government aims to dramatically expand Maharashtra’s economic output across sectors.
Targets announced in the Budget include:
- Increasing agricultural GDP from $55 billion to $500 billion
- Expanding industrial GDP from $123 billion to $1.5 trillion
- Growing service sector income from $312 billion to $3 trillion
The government also aims to transform Maharashtra into a global manufacturing hub, while strengthening its position as India’s startup capital.
A new Global Competence Centre (GCC) Policy will establish 400 competency centres, creating 4 lakh jobs, with Pune emerging as a preferred location for GCC investments.
Technology and AI Integration
The state plans to deploy AI-based solutions in governance and agriculture. A pilot project in 75 villages will use artificial intelligence to improve rural living standards.
A chatbot named “Mahavistar AI” will assist nearly 30 lakh farmers, providing guidance in local dialects on weather forecasts, crop diseases and market prices.
Additionally, the government will create an AI Innovation & Incubation Centre to promote agricultural technology startups.
Other Key Announcements
Other notable measures in the Budget include:
- 30% discount in motor vehicle tax
- ₹20,000 crore allocation for solar power for farmers
- Expansion of the Mukhyamantri Majhi Ladki Bahin Yojana, which will continue without increasing the instalment amount
- Inclusion of farm labourers in the Gopinath Munde Accident Relief Scheme
- Development of 50 tourism destinations and tourism investment offices in Mumbai, Singapore and Dubai
The government also plans to launch the ‘Invest Maharashtra’ digital platform to attract industrial investments and strengthen the state’s business ecosystem.
Tribute to Ajit Pawar
At the beginning of his Budget speech, Fadnavis paid tribute to late NCP leader and Deputy Chief Minister Ajit Pawar, who died in an air crash earlier this year and had previously presented the state Budget 11 times.
Calling it a difficult moment, the Chief Minister announced that a memorial and a citizen award will be instituted in Pawar’s honour.
Vision for 2047
Summing up the Budget, Fadnavis said Maharashtra aims to remain India’s economic engine while expanding rapidly across agriculture, industry and services.
“Our goal is to make Maharashtra a $5 trillion economy by 2047,” the Chief Minister said, emphasizing infrastructure expansion, technological adoption and industrial investment as the pillars of growth.
