In a significant move ahead of Bihar’s upcoming state elections later this year, the central government announced a series of measures aimed at boosting the state’s infrastructure, agriculture, and education sectors.
Presenting the Union Budget for 2025-26, Finance Minister Nirmala Sitharaman unveiled key initiatives, including financial support for the Western Kosi Canal project, the establishment of a Makhana Board, and the expansion of airports and educational institutions in Bihar.
Key Announcements for Bihar:
- Western Kosi Canal Project:
The Finance Minister announced financial support for the Western Kosi Canal ERM project in the Mithilanchal region, which is expected to benefit farmers cultivating over 50,000 hectares of land. “This initiative will significantly enhance agricultural productivity and improve the livelihoods of farmers in the region,” Sitharaman said.
- Makhana Board:
A dedicated Makhana Board will be set up in Bihar to support makhana (foxnut) farmers. The board will provide training, handholding, and access to government schemes, aiming to boost the income of farmers engaged in makhana cultivation.
- National Institute of Food Technology, Entrepreneurship, and Management:
A new institute for food processing will be established in Bihar to promote value addition, skilling, and entrepreneurship. “This initiative will not only increase farmers’ earnings but also create employment opportunities for the youth,” Sitharaman added.
- Expansion of IIT Patna:
The capacity of IIT Patna will be expanded as part of a broader plan to enhance infrastructure in five IITs, accommodating 6,500 additional students. Over the past decade, the number of students in 23 IITs has doubled from 65,000 to 1.35 lakh.
- Airport Development:
The Budget includes plans for greenfield airports in Bihar, a brownfield airport in Bihta, and the expansion of Patna airport to improve connectivity and support economic growth.
Political Significance:
The announcements hold political significance as Bihar heads to polls in November 2024. The NDA government, which includes Chief Minister Nitish Kumar’s Janata Dal (United), has been a key ally of the BJP at the Centre. The Opposition Congress, however, criticized the Budget, questioning why other NDA-ruled states like Andhra Pradesh were overlooked.
“Bihar appears to have received a bonanza of announcements, likely due to the upcoming elections. But why has Andhra Pradesh, another NDA stronghold, been ignored?” said Congress general secretary Jairam Ramesh.
Bihar’s Demands from the Centre:
Ahead of the Budget, Bihar Deputy Chief Minister Samrat Choudhary submitted a 32-page memorandum to the Finance Minister, seeking ₹13,000 crore for flood management in North Bihar, upgrades to Darbhanga airport, new airports in Rajgir and Bhagalpur, and funding for Raxaul airport. The state also requested the construction of 10 new Kendriya Vidyalayas, relaxation in borrowing limits, and approval for a small modular nuclear reactor.
In the Union Budget 2024-25, Bihar had been allocated ₹59,000 crore for road connectivity, power, and flood management. Chief Minister Nitish Kumar had reiterated the demand for special category status or a special package for the state.
The latest Budget announcements reflect the central government’s focus on addressing Bihar’s developmental needs while strategically positioning itself ahead of the state elections.