Punjab: Finance Minister Harpal Singh Cheema on Sunday strongly criticised the BJP-led Central Government for completely overlooking Punjab in the Union Budget 2026, stating that the budget makes no reference to the state and ignores the long-pending Rural Development Fund (RDF) amounting to ₹8,500 crore that is rightfully owed to Punjab.
Terming the budget anti-farmer, anti-education and anti-health, Harpal Singh Cheema said Punjab has once again been forced to fend for itself despite carrying the responsibility of national food security, repeatedly facing natural disasters and fulfilling RDF-related obligations. He pointed out that this neglect has continued for the 12th consecutive year, with no relief for the common people and no meaningful support from the Centre.
[Live] Finance Minister Harpal Singh Cheema addressing a Press Conference at Punjab Bhawan. https://t.co/RGDrdQRlwG
— Government of Punjab (@PbGovtIndia) February 2, 2026
Addressing a press conference at Punjab Bhawan, Harpal Singh Cheema said the Union Budget 2026 reflects a deliberate attempt to hinder Punjab’s growth, despite the state’s unmatched sacrifices for the nation. He remarked that the BJP-led Centre’s approach poses a serious threat to democracy and is particularly harmful to Punjab. According to him, the budget is hostile to farmers, the poor, traders, students, and even the security interests of the state.
Punjab Ignored Despite Major Contribution to National Food Security
The Finance Minister Harpal Singh Cheema said Punjab’s memorandum submitted to the Union Finance Minister has been completely ignored. He highlighted that Punjab has consistently strengthened the country’s food reserves and increased its contribution to the Central food pool, a responsibility that has pushed 117 blocks of the state into the groundwater dark zone.
Raising concerns over the recommendations of the 16th Finance Commission, Cheema said the Centre has failed to address the worsening financial condition of states. He criticised the decision to keep vertical devolution unchanged at 41 percent and noted that no Revenue Deficit Grants have been recommended, unlike the 15th Finance Commission. He also objected to the restrictive conditions imposed on the State Disaster Response Fund (SDRF), warning that they would severely limit states like Punjab in disaster management.
No Relief for Farmers, Common People, Education and Health: Harpal Singh Cheema
Harpal Singh Cheema accused the Centre of betraying Punjab’s farmers by offering no increase in the Agriculture Infrastructure Fund and no concrete support for mandi infrastructure. He said states will now be forced to bear these expenses on their own. The budget’s focus on high-value crops, he added, excludes Punjab entirely, exposing the Centre’s selective and discriminatory approach.
The Finance Minister also slammed the reduction in subsidies and lack of relief for common citizens. He noted that the urea subsidy has been cut, there is no tax relief despite rising inflation, and the increase in Securities Transaction Tax will further burden ordinary people. He added that allocations for education and health remain stagnant, while cuts in schemes like Swachh Bharat and PM-Vishwakarma contradict the Centre’s development claims.
Summing up, Harpal Singh Cheema said the Union Budget 2026 reflects the Centre’s continued apathy towards Punjab. He asserted that the budget ignores the state’s contributions, disregards its challenges and weakens its future, offering little support to farmers, workers, youth or states. Punjab, he said, deserves far better.