Maharashtra's budget for FY 2025-26 presented by Deputy CM Ajit Pawar: Key announcements

Maharashtra's budget for FY 2025-26 presented by Deputy CM Ajit Pawar: Key announcements

Maharashtra’s Deputy Chief Minister and Finance Minister, Ajit Pawar, began the budget presentation by expressing his gratitude to Prime Minister Narendra Modi for his continued support to the state. He credited the success of the Ladki Bahin (Beloved Sisters) scheme as a key factor in the government's rise to power, highlighting its significance in securing the confidence of the people and helping the newly-formed Mahayuti government gain a strong foothold in the state. Below are the key highlights from the budget presentation:

1. Private Investment on the Rise

  • Pawar highlighted the increase in private investment in Maharashtra, driven by rising market demand and a strong development trajectory.
  • Maharashtra continues to lead the country in foreign direct investment (FDI), maintaining its position as a key investment hub.

2. New labour laws and revamped industrial policy

  • The state plans to introduce new labour laws that will enhance efficiency and attract more investments.
  • A revamped industrial policy has been outlined to further boost economic growth and foster a conducive environment for businesses.

3. Metro network expansion and Mumbai infrastructure projects

  • Maharashtra will allocate Rs 64,000 crore for Mumbai infrastructure projects, including the expansion of the metro network, to enhance urban connectivity.

4. Metro to connect Navi Mumbai and Mumbai airports

  • Ajit Pawar announced plans for a metro link connecting Navi Mumbai and Mumbai airports, enhancing connectivity between the two key locations.

5. Metro network expansion and Mumbai infrastructure projects

  • Maharashtra will allocate Rs 64,000 crore for Mumbai infrastructure projects, including the expansion of the metro network, to enhance urban connectivity.

6. Target of 50 lakh jobs and road Infrastructure push

  • The state aims to generate 50 lakh new jobs over the next five years. In the coming year, 1,500 km of new roads will be developed, while 7,000 km of existing roads will be upgraded to cement roads. Additionally, 99% of the Samruddhi Highway project has been completed.

7. New ferries for Gateway of India to Mandwa

  • The state will introduce new ferry services connecting Gateway of India to Mandwa, improving coastal transport.

8. Vadhvan Port Development

  • The Vadhvan Port in Palghar district will receive a 26% contribution from the state in its development cost. Additionally, plans for a new airport as part of the port’s development were announced, with operations starting by 2030.

9. Focus on logistics infrastructure and Mumbai as growth hub 

  • The state will prioritise the development of logistics infrastructure across 10,000 hectares, with plans for Mumbai to emerge as a major growth hub with new trade centers to enhance commercial activities.

10.  Maharashtra signs MOUs with 56 companies at Davos

  • Maharashtra signed 56 Memorandums of Understanding (MOUs) with companies at Davos, setting the stage for future investments and economic growth.

11.  New industrial policy:

  • Maharashtra's new industrial policy will be announced soon, aiming for Rs 40 lakh crore in investment and the creation of 5 million jobs within five years.
  •  Alongside the industrial policy, additional strategies for space and defense, electronics, gems and jewelry, and micro, small, and medium enterprises will be introduced.
  •  New labor rules will be formulated as per the central government's new labor code.

12. Mumbai Metropolitan Region Development:

  • Plans are underway to develop the Mumbai Metropolitan Region into an international-quality economic development hub with trade centers in seven locations.
  •  The economy of the region is projected to grow from $140 billion to $300 billion by 2030 and $1.5 trillion by 2047.

13. Electricity Tariff Proposals

  • The Maharashtra State Electricity Distribution Company has proposed fixed electricity tariffs for the next five years, which are estimated to save Rs 113,000 crore in electricity purchasing costs.

14. Environmental and coastal project initiatives:

  • A Rs 8,400 crore project is being implemented for disaster management related to climate change and rising sea levels in coastal districts.

  • The "Maharashtra Sustainable Environmental Coastal Protection and Management" project has been approved for various works in Sindhudurg district.

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