Bhubaneswar: Odisha Chief Minister Mohan Charan Majhi presented a ₹17,440 crore Supplementary Budget for the 2025-26 financial year on Friday. The budget focuses sharply on supporting farmers' welfare, improving healthcare, and empowering women and children. CM Majhi laid the Supplementary Statement of Expenditure before the Legislative Assembly. 
The Finance Department explained the need for the supplementary outlay. It aims to meet the welfare needs of the state, fund critical development projects, adjust to changes in funding from the central government, and repay advances taken from the state's Contingency Fund.
Odisha expects to maintain a revenue surplus and keep its fiscal deficit near 3\% of the Gross State Domestic Product (GSDP). The debt-to-GSDP ratio is also projected to stay below the mandated 25% limit.
The capital outlay—spending on assets like infrastructure—for 2025-26 is anticipated to be over 6\% of GSDP. The government believes this high spending will boost economic growth and speed up the delivery of welfare schemes to citizens.
The Finance Department explained the need for the supplementary outlay. It aims to meet the welfare needs of the state, fund critical development projects, adjust to changes in funding from the central government, and repay advances taken from the state's Contingency Fund.
Major Spending Areas
The total supplementary outlay splits into two main categories: Administrative Expenditure and Programme Expenditure.- Administrative Expenditure – ₹3,389 crore
- This portion funds the day-to-day running of the government and institutional upkeep. Key allocations include:
- ₹1,406 crore for debt servicing.
- ₹306 crore for maintaining government buildings.
- ₹250 crore for repairing roads and bridges.
- ₹116 crore for operation and maintenance of rural piped water supply schemes.
- Grants will also go to educational institutions, with ₹14 crore for Ravenshaw University and ₹5 crore for Utkal University.
- Programme Expenditure – ₹13,716 crore
Sectoral Highlights
The government prioritized several key areas with significant funding:- Farmers’ Welfare: This sector received one of the biggest allocations. It includes ₹3,000 crore for a revolving fund to buy paddy from farmers, ₹1,325 crore for the Public Distribution System (PDS) food subsidy, and ₹850 crore under the Samrudha Krushak Yojana for minimum support price (MSP) and input support for agriculture.
- Healthcare: The budget allocates ₹994 crore for the National Health Mission. It provides ₹50 crore to upgrade SCB Medical College for new post-graduate courses and ₹40 crore for specialized tertiary care under the Gopabandhu Jana Arogya Yojana.
- Women and Children: The government earmarked ₹295 crore for the SUBHADRA Yojana and ₹405 crore for the Mission Shakti program, which supports women’s self-help groups. ₹426 crore goes to the National Rural Livelihood Mission (NRLM).
- Education and Skills: ₹392 crore is set aside for the PM-POSHAN school meal scheme, and ₹320 crore will go to Odisha Adarsha Vidyalayas (model schools).
- Infrastructure: Key infrastructure projects receive ₹120 crore under the Setu Bandhan Yojana. ₹100 crore is allocated for urban infrastructure development under the Mukhyamantri Sahari Vikas Yojana.
Fiscal Responsibility
The government affirmed that the Supplementary Budget meets all Fiscal Responsibility and Budget Management (FRBM) standards. Officials stated that the budget is financially sound due to adjustments, cost savings, and additional revenue generation.Odisha expects to maintain a revenue surplus and keep its fiscal deficit near 3\% of the Gross State Domestic Product (GSDP). The debt-to-GSDP ratio is also projected to stay below the mandated 25% limit.
The capital outlay—spending on assets like infrastructure—for 2025-26 is anticipated to be over 6\% of GSDP. The government believes this high spending will boost economic growth and speed up the delivery of welfare schemes to citizens.
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