SHILLONG: The Meghalaya Government has welcomed the Union Budget 2026–27, describing it as a forward-looking and pragmatic roadmap aligned with India’s long-term vision of Viksit Bharat, while highlighting its positive fiscal and developmental implications for the state.
In an official statement issued by the State Finance Department, the government said the Budget reflects a strong commitment to fiscal prudence, sustained public investment, inclusive growth, and balanced regional development.
A key highlight of the Budget is the enhancement of public capital expenditure to ₹12.2 lakh crore, with significant investments planned across infrastructure, education, healthcare, tourism, agriculture, skilling, and technology-driven governance.
The state government also expressed appreciation for the increase in allocations under the Special Assistance to States for Capital Investment (SASCI), which has been raised to ₹1.85 lakh crore for FY 2026–27. According to the government, this support has been instrumental in strengthening infrastructure-led growth in Meghalaya.
Focus on the North-East
The Budget reiterated a strong policy thrust on the North-Eastern Region, recognising its strategic importance, ecological sensitivity, and economic potential. Targeted interventions in connectivity, tourism, agriculture, healthcare, and human capital development are expected to drive growth and employment generation across the region, including Meghalaya.
Sectoral Gains for Meghalaya
The state government highlighted several sector-specific measures that align with Meghalaya’s development priorities:
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MSMEs and Women Entrepreneurship: A proposed ₹10,000 crore SME Growth Fund is expected to support the scaling up of micro, small and medium enterprises, including women-led ventures.
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Tourism: Initiatives such as the National Institute of Hospitality, the National Destination Digital Knowledge Grid, and a pilot programme to upskill 10,000 tourist guides are expected to boost Meghalaya’s nature-based and community-led tourism economy.
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Education and Youth Development: Proposals including university townships, establishment of girls’ hostels in STEM institutions, and education-to-employment frameworks aim to improve access, retention, and employability, particularly in tribal and rural districts.
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Healthcare: Expansion of allied health institutions, strengthening of trauma care, and exemption of basic customs duty on 17 cancer drugs are expected to improve healthcare access and reduce treatment costs.
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Agriculture and Rural Livelihoods: Focus areas include agarwood cultivation, AI-enabled advisory services under Bharat-VISTAAR, and promotion of women-led enterprises through SHE-Marts.
The state government said it is examining the recommendations of the 16th Finance Commission and their implications for Meghalaya’s fiscal capacity. While Finance Commission grants for 2026–27 include ₹190 crore for Rural Local Bodies, ₹49 crore for Urban Local Bodies, and allocations for disaster response and mitigation, the government noted that fiscal space remains constrained for hill states due to challenging terrain, ecological sensitivity, and higher service delivery costs.
The government said these transfers would support grassroots governance, urban services, and disaster preparedness, but added that developmental needs in remote and border areas remain significant.
