Harpal Singh Cheema, Finance Minister of Punjab, presented the Punjab Budget 2026 on March 8 with a total outlay of ₹2,60,437 crore, projecting the state’s Gross State Domestic Product (GSDP) at ₹9,80,635 crore with an estimated 10% growth rate.
The Punjab Budget 2026, presented on International Women’s Day, introduced several major welfare initiatives, including the ‘Mukh Mantri Mawan Dhian Satikar Yojna’, a universal cash transfer scheme for women. The government described the Punjab Budget 2026 as a “Saari Guarantiyan Puri Karan Wala Budget,” highlighting its commitment to fulfilling key guarantees made by Arvind Kejriwal and Bhagwant Mann.
Monthly Cash Support For Women
A major highlight of the Punjab Budget 2026 is the Mukh Mantri Mawan Dhian Satikar Yojna, under which all eligible adult women will receive ₹1,000 per month, while women from Scheduled Caste communities will receive ₹1,500 per month.
Finance Minister Cheema said ₹9,300 crore has been earmarked for the scheme, expected to benefit about 97% of adult women in the state. The Budget also allocates ₹600 crore for free bus travel for women and ₹65 crore under the Navi Disha Scheme to provide free sanitary pads to needy women and adolescent girls.
Major Push For Education Reforms
Education received a major boost in the Punjab Budget 2026, with an allocation of ₹19,279 crore, marking a 7% increase compared to the previous year.
The government announced “Sikhiya Kranti 2.0,” a ₹3,500 crore project in collaboration with the World Bank aimed at transforming the education system.
Funds have also been allocated for school infrastructure improvements, digital classrooms, and career counselling for more than 7.35 lakh students.
ਪੰਜਾਬ ਦੀਆਂ ਮਹਿਲਾਵਾਂ ਲਈ ਸਭ ਤੋਂ ਵੱਡੀ ਖ਼ੁਸ਼ਖ਼ਬਰੀ, ਮਾਨ ਸਰਕਾਰ ਨੇ ਪੂਰਾ ਕੀਤਾ ਆਪਣਾ ₹1000 ਦਾ ਵਾਅਦਾ #1000Gift4PunjabWomen pic.twitter.com/QjXJn0xVR0
— AAP Punjab (@AAPPunjab) March 8, 2026
Healthcare And Medical Infrastructure Expansion
The Punjab Budget 2026 allocates ₹6,879 crore for healthcare, including ₹2,000 crore for the Mukhya Mantri Sehat Yojana, which offers cashless treatment up to ₹10 lakh per year for nearly 65 lakh families.
The government will also expand the network of Aam Aadmi Clinics, increasing the number of clinics to 1,432 across the state.
Additional funding includes ₹300 crore for advanced medical equipment and plans for a modern Trauma Centre and Mother and Child Care Hospital in Sri Anandpur Sahib.
Agriculture And Rural Development Measures
Agriculture and allied sectors received an allocation of ₹15,377 crore in the Punjab Budget 2026.
This includes:
- ₹7,715 crore for free electricity to farmers
- Incentives for Direct Seeded Rice (DSR) and maize cultivation
- ₹600 crore for crop residue management
A ₹1,300 crore horticulture project supported by the Japan International Cooperation Agency (JICA) aims to expand horticulture acreage by 300% by 2035.
Infrastructure, Industry And Employment Initiatives
The Punjab Budget 2026 also emphasises infrastructure development, with ₹5,440 crore allocated for roads, bridges and public buildings.
Industrial growth remains a focus under the Industrial Policy 2026, with ₹500 crore earmarked for incentives to attract investments. The state recorded ₹55,000 crore in investments in 2025, significantly boosting foreign direct investment.
The government also highlighted employment initiatives, noting that 63,943 candidates have been recruited in government jobs since 2022.
Strengthening Security And Youth Development
For internal security, ₹11,577 crore has been allocated to strengthen policing and continue the **Yudh Nashian De Virudh campaign against drugs.
Sports and youth engagement will receive ₹1,791 crore, with plans to build 6,000 village playgrounds and 5,000 indoor gyms across Punjab.
Focus On Welfare And Social Security
The Punjab Budget 2026 also includes major welfare initiatives such as the “Meri Rasoi” scheme, with ₹900 crore allocated to provide free essential ration kits to nearly 40 lakh families.
The Social Welfare and Justice sector has received ₹18,304 crore, including ₹6,150 crore for pension schemes and ₹17,700 crore under the Scheduled Caste Sub-Plan.
Fiscal Outlook
The government projects total revenue receipts of ₹1,26,190 crore, supported by increased devolution from the Finance Commission of India.
Cheema also said governance reforms have helped improve finances, reducing the debt-to-GSDP ratio from 48.25% to 44.47% while doubling capital expenditure to ₹18,381 crore.
Concluding his speech, the Finance Minister said the Punjab Budget 2026 aims to strengthen the state’s economy while continuing investments in welfare, infrastructure and public services.