Himachal Pradesh CM Sukhu criticized the recently presented Union Budget 2026-27, describing it as “anti-poor and anti-farmer” and as ignoring the interests of Himachal Pradesh. He called the budget inequitable and unfair to hill states.
The Chief Minister also strongly objected to the 16th Finance Commission (FC-XVI) report, stating that the Commission failed to provide crucial Revenue Deficit Grants (RDGs) for small states, including Himachal Pradesh. These state-specific grants, provided under Article 275(1) of the Constitution, are essential for maintaining basic public services and fiscal stability, and their omission could have a negative impact on the state’s finances.
Sukhu highlighted that Himachal Pradesh had expected targeted support from the Centre for hill-specific priorities such as hydropower development, eco-tourism, road and rail connectivity, and compensation for revenue losses from GST. He noted that the budget makes no concrete provisions for the development of Buddhist circuits or tourism infrastructure. Additionally, the budget overlooks critical issues such as inadequate support for the agricultural sector and apple growers, rising inflation, and unemployment.
The Chief Minister emphasized that hill states like Himachal Pradesh, with their unique geographical and ecological challenges, require higher central assistance and more flexible planning. He urged the Centre to strengthen cooperative federalism by addressing state-specific concerns and prioritizing the development of Himalayan states.
