Delhi's Landmark Budget: A New Era in Capital Funding

The Delhi government has unveiled its largest budget yet, totaling Rs 1,03,700 crore for 2026-27. Chief Minister Rekha Gupta announced that funding will come from Rs 74,000 crore in revenue and Rs 16,700 crore in market borrowing through the RBI. This move marks Delhi's first-time use of market borrowing for budget funds, focusing on capital expenditure in sectors like health, transport, and infrastructure. GST remains a primary revenue source, contributing Rs 43,500 crore.

The Delhi government has announced its largest-ever budget at Rs 1,03,700 crore for the fiscal year 2026-27, surpassing the previous year's budget by 3.7 per cent. Chief Minister Rekha Gupta highlighted the government's decision to finance this budget through Rs 74,000 crore of its own revenue and Rs 16,700 crore in market borrowings.

This budget marks a significant shift as it is the first instance the Delhi government will utilize market borrowing, facilitated by an agreement with the Reserve Bank of India. The funds primarily target capital expenditure projects, including critical sectors such as health, infrastructure, and public transport.

GST will form the backbone of revenue, contributing Rs 43,500 crore. Gupta emphasizes that Delhi's growth rate consistently surpasses the national average, with the Gross State Domestic Product projected to rise, reinforcing Delhi's economic stature.

(With inputs from agencies.)