In a significant move aimed at bolstering Bihar’s economy and infrastructure, Union Finance Minister Nirmala Sitharaman announced a slew of initiatives for the state during her Union Budget 2025-26 speech. With Bihar set to go to polls later this year, the budget focuses on agriculture, infrastructure, education, and aviation, addressing long-standing demands and laying the groundwork for sustainable development.
1. Makhana Board: Empowering Farmers
One of the most notable announcements for Bihar is the establishment of a Makhana Board. This initiative aims to enhance the production, processing, and value addition of Makhana (fox nuts), a key agricultural product in north Bihar. The board will help farmers access central government schemes, improve market linkages, and increase their income. This move is expected to benefit thousands of farmers in the Mithilanchal region, where Makhana cultivation is a major livelihood source.
2. Infrastructure Push: Airports and Canal Projects
The budget also includes a significant push for infrastructure development in Bihar. Sitharaman announced the construction of greenfield airports in the state, along with a brownfield airport in Bihta and the expansion of Patna airport.These projects aim to improve connectivity, boost tourism, and facilitate economic growth.
Additionally, the Western Kosi Canal ERM project was highlighted, which is expected to benefit over 50,000 hectares of agricultural land in the Mithilanchal region. This initiative will enhance irrigation facilities, improve water management, and increase agricultural productivity, directly supporting farmers and rural communities.
3. Education and Skill Development
To strengthen Bihar’s education sector, the budget announced the expansion of the Indian Institute of Technology (IIT) Patna. The capacity of IIT Patna will be increased as part of a broader initiative to accommodate 6,500 more students across five IITs. This move is expected to provide quality education and skill development opportunities for Bihar’s youth, aligning with the government’s goal of fostering innovation and entrepreneurship.
Furthermore, a National Institute of Food Technology, Entrepreneurship, and Management will be established in Bihar. This institute will promote food processing activities in the eastern region, creating opportunities for skilling, entrepreneurship, and employment while adding value to agricultural produce.
4. Focus on Food Processing and Farmer Welfare
The budget emphasised the government’s commitment to strengthening the food processing sector, particularly in Bihar. By promoting value addition and processing, the initiatives aim to increase farmers’ earnings and generate employment opportunities for the youth. This aligns with the broader goal of uplifting the poor and ensuring balanced regional growth.
5. Political Context: Bihar Assembly Polls
The announcements come ahead of the Bihar Assembly polls scheduled for November 2025. With the BJP relying on its ally, Nitish Kumar’s JDU, for support in the central government, the budget’s focus on Bihar is seen as a strategic move to strengthen the alliance and secure electoral gains. The initiatives address key demands from the state, including flood management, airport upgrades, and infrastructure development.
6. Opposition’s Reaction
While the budget’s focus on Bihar was welcomed by the ruling coalition, it drew criticism from the Opposition. Senior Congress leader Jairam Ramesh questioned why Andhra Pradesh, another NDA ally, was “cruelly ignored” in the budget. This highlights the political undertones of the announcements and the importance of Bihar in the upcoming elections.
A Budget for Bihar’s Growth
The Union Budget 2025-26 reflects the central government’s commitment to Bihar’s development, with targeted initiatives aimed at boosting agriculture, infrastructure, education, and aviation. By addressing key challenges and leveraging the state’s potential, these measures are expected to drive inclusive growth and improve the quality of life for millions of residents. As Bihar prepares for the Assembly polls, the budget sets the stage for a brighter future, offering hope and opportunities for the state’s progress.
