CM Sukhu Takes Himachal Fiscal Needs to Union Finance Minister

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CM Sukhu met Union Finance Minister Nirmala Sitharaman in New Delhi to outline Himachal Pradesh’s mounting financial pressures and request enhanced Central support. With the discontinuation of the Revenue Deficit Grant (RDG) starting in FY 2026–27 creating an annual gap of approximately ₹8,000 crore, CM Sukhu urged the Centre to raise the state’s borrowing ceiling from 3% to 4% of GSDP. Pointing to the steep costs of building infrastructure in disaster-prone terrain, he also called for doubling the allocation under Externally Aided Projects (EAPs) and exempting vendor payments under the SASCI scheme from the SNA-SPARSH system.

Highlighting the state’s self-help measures, CM Sukhu noted that Himachal is the first state to implement a Minimum Support Price (MSP) for natural farming to boost rural household incomes and build economic resilience. Union Finance Minister Nirmala Sitharaman assured sympathetic consideration of the state’s proposals, promising appropriate Central support and additional aid under Special Central Assistance to help stabilize Himachal’s fiscal position.

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