Expenditure on Major Items in Budget 2025-26: A Detailed Analysis
Expenditure on Major Items in Budget 2025-26: A Detailed Analysis
Introduction
The Union Budget 2025-26 outlines significant allocations across key expenditure heads, reflecting the government’s priorities in social welfare, infrastructure, defense, and economic development. This section provides an in-depth analysis of the budgeted expenditure for major items, comparing it with previous years’ figures and highlighting critical trends.
Key Expenditure Categories and Allocations
The total expenditure for 2025-26 is ₹50.65 lakh crore, with allocations spread across various sectors. Below is a detailed breakdown:
Category | 2023-24 Actuals (₹ crore) | 2024-25 BE (₹ crore) | 2024-25 RE (₹ crore) | 2025-26 BE (₹ crore) |
---|---|---|---|---|
Pension | 2,38,328 | 2,43,296 | 2,75,103 | 2,76,618 |
Defence | 4,44,699 | 4,54,773 | 4,56,722 | 4,91,732 |
Fertiliser Subsidy | 1,88,292 | 1,64,000 | 1,71,299 | 1,67,887 |
Food Subsidy | 2,11,814 | 2,05,250 | 1,97,420 | 2,03,420 |
Petroleum Subsidy | 12,240 | 11,925 | 14,700 | 12,100 |
Agriculture & Allied Activities | 1,45,995 | 1,51,851 | 1,40,859 | 1,71,437 |
Commerce & Industry | 49,809 | 47,559 | 56,502 | 65,553 |
Development of North East | 1,628 | 5,900 | 4,006 | 5,915 |
Education | 1,23,365 | 1,25,638 | 1,14,054 | 1,28,650 |
Energy | 52,405 | 68,769 | 63,403 | 81,174 |
External Affairs | 28,915 | 22,155 | 25,277 | 20,517 |
Finance | 23,403 | 86,339 | 63,512 | 62,924 |
Health | 81,594 | 89,287 | 88,032 | 98,311 |
Home Affairs | 1,96,872 | 2,19,643 | 2,20,371 | 2,33,211 |
Interest Payments | 10,63,872 | 11,62,940 | 11,37,940 | 12,76,338 |
IT & Telecom | 82,277 | 1,16,342 | 1,17,869 | 95,298 |
Rural Development | 2,41,193 | 2,65,808 | 1,90,675 | 2,66,817 |
Scientific Departments | 24,657 | 32,736 | 29,831 | 55,679 |
Social Welfare | 42,065 | 56,501 | 46,482 | 60,052 |
Tax Administration | 1,91,327 | 2,03,530 | 2,07,968 | 1,86,632 |
Transport | 5,26,765 | 5,44,128 | 5,41,384 | 5,48,649 |
Urban Development | 68,565 | 82,577 | 63,670 | 96,777 |
Others | 4,03,367 | 4,73,555 | 4,50,008 | 4,82,653 |
Budgetary Trends and Implications
- Shift Towards Capital Expenditure: Higher investments in infrastructure and modernization projects.
- Focus on Self-Reliance: Increased support for domestic industries, including defense and technology.
- Fiscal Prudence: Balancing subsidies and welfare schemes with revenue generation.
Conclusion
The budget for 2025-26 maintains a fine balance between growth and fiscal stability. While interest payments and subsidies continue to be significant, the focus remains on infrastructure, defense, and social welfare. The allocations reflect a strategic approach toward India’s long-term economic growth and resilience.
Stay tuned for more insights and sectoral breakdowns!
Refernece: https://www.indiabudget.gov.in/doc/Budget_at_Glance/budget_at_a_glance.pdf (Page 13)
Recommended:
Budget 2025-26: Budget at a Glance
Budget 2025 Live: New Income Tax Slabs – How Much Do You Save?