Himachal Pradesh chief minister Sukhvinder Singh Sukhu on Saturday presented a budget that saw the overall outlay shrink for the first time in the state’s history. Slashing the budget size by ₹3,586 crore—down from last year’s ₹58,514 crore to ₹54,928 crore—the CM termed the move a testament to his government’s “himmat (courage)” to tackle a mounting debt trap left by the previous BJP regime.
The House erupted in chaos as Sukhu blamed the discontinuation of the Revenue Deficit Grant (RDG) and the end of GST compensation for the state’s financial distress. He directly accused the BJP of pushing Himachal into a debt trap, stating that the crisis could have been avoided had they settled outstanding loans. When the CM suggested that those who did not support the state on the RDG had betrayed Himachal’s interests, BJP legislators, led by leader of opposition and former chief minister Jai Ram Thakur, stormed the well. After a 20-minute standoff, the CM resumed his speech.
Defending his “Green Budget”, Sukhu slammed the Centre and the Opposition for denying Himachal’s rightful assets, including the Shanan Power Project and the 12% free power share. Despite the cuts, he vowed to strengthen the rural economy and fulfil all 10 election guarantees, including the Old Pension Scheme (OPS) and Mahila Nidhi. “We will not let fiscal challenges hamper development,” he said, noting the state is moving toward self-reliance.
To streamline resources, the CM announced a drive to reduce unproductive expenditure and close “unwanted institutes”. He further allocated ₹500 crore to finish 300 incomplete projects identified by the government.
Addressing the infrastructure legacy of the previous term, he said that the government would ensure the “optimum use” of buildings constructed by the BJP rather than leaving them idle.
