Gujarat Finance Minister Kanu Desai on Thursday presented the state budget for 2025-26 in the Assembly, with a record allocation of Rs 3,70,250 crore. This marks the fourth consecutive budget under his leadership, focusing on education, infrastructure, skill development, and social welfare.
A major highlight is the Rs 59,999 crore allocation for education, reinforcing Gujarat’s commitment to modernizing its education system to align with global standards and the Viksit Bharat 2047 vision.
The budget places a strong emphasis on improving education quality and accessibility. The Mission Schools of Excellence programme will receive Rs 2,914 crore, enabling structural improvements in over 25,000 classrooms. The Namo Lakshmi Yojana has been allocated Rs 1,250 crore to promote girls’ education, while Rs 782 crore will be spent under the Right to Education (RTE) Act to support students in private schools. The Namo Saraswati Vigyan Sadhana Yojana will benefit 2.5 lakh students with an allocation of Rs 250 crore, and Rs 223 crore has been earmarked for student travel concessions in State Transport (ST) buses.
The Gyan Shakti Residential Schools of Excellence will receive Rs 200 crore to enhance residential education facilities. Scholarships also see a significant push, with Rs 100 crore for the Gyan Sadhana Merit Scholarship, benefiting 75,000 students, and Rs 70 crore for the Gyan Setu Merit Scholarship, assisting 90,000 students. The recruitment of over 22,000 teachers in government and aided schools is also underway, addressing staff shortages and improving education quality. A substantial portion of the budget is dedicated to infrastructure development, with a focus on roadways, public transportation, and smart city initiatives.
Key investments include Rs 5,000 crore for road expansion projects, Rs 4,000 crore for smart cities, and Rs 3,500 crore for urban housing projects. The government aims to enhance connectivity between industrial hubs and rural areas, boosting economic growth. The healthcare sector has been allotted over Rs 40,000 crore, with plans to establish new hospitals and upgrade existing facilities.
A key initiative includes the integration of AI-based diagnostics in government hospitals to enhance patient care. The Ayushman Bharat Yojana has been allocated Rs 3,200 crore, ensuring wider healthcare coverage for low-income families.
Gujarat continues its focus on women’s empowerment with Rs 15,000 crore allocated to the schemes for nutrition, financial independence, and safety. The Namo Lakshmi Yojana and Mukhyamantri Mahila Udyam Yojana are key initiatives that encourage education and entrepreneurship among women.
The government also plans to strengthen anganwadis and child nutrition programmes, ensuring better healthcare for children in rural and urban areas.
With Gujarat emerging as an industrial hub, the budget emphasizes job creation and entrepreneurship. The state has allocated Rs 10,000 crore towards skill development and startup incentives, focusing on IT, AI, renewable energy, and manufacturing sectors. New training centres and incubation hubs will be established to equip youth with industry-ready skills. To support Gujarat’s agricultural sector, the government has set aside Rs 25,000 crore for irrigation, smart farming techniques, and crop insurance subsidies.
The Mukhyamantri Kisan Yojana will receive a major boost, ensuring better irrigation facilities and financial support for farmers. The focus is on sustainable agriculture, water conservation, and the adoption of technology-driven farming practices. Gujarat has committed Rs 12,000 crore towards solar, wind, and hydrogen power projects. The state aims to increase its solar capacity by 5,000 MW and invest in electric vehicle (EV) infrastructure, making Gujarat a major player in India’s green energy transition.
Finance Minister Desai presented the budget in a red-coloured ‘pothi’ (ledger book), rather than the traditional briefcase. The pothi was adorned with Warli paintings and Ahir embroidery, symbolizing Gujarat’s rich tribal and folk artistry. The Ashoka Stambh was also prominently featured, reflecting national pride and governance.