All eyes are on the Union Budget 2026-27 to be presented by Finance Minister Nirmala Sitharaman on Sunday, February 1. While she is expected to outline the government’s revenue and expenditure plans across sectors, the Centre is expected to lay special focus on poll-bound states.
Four states and one Union Territory will hold Assembly Elections in 2026. They are Assam, West Bengal, Puducherry, Tamil Nadu and Kerala.
What could be in the Union Budget 2026-27 for these poll-bound states:
West Bengal
Earlier budgets have focused on housing, river management, health, economic growth and tourism among other areas. Prime Minister Narendra Modi visited West Bengal in December to inaugurate and lay the foundation stone for key National Highway projects. The government said these projects will serve as a vital connecting link between Kolkata and Siliguri.
Earlier, PM Modi flagged off India’s first Vande Bharat Sleeper Train connecting Howrah and Guwahati (Kamakhya) from Malda Town railway station. Later, he virtually inaugurated the return Guwahati-Howrah Vande Bharat Sleeper service, strengthening long-distance rail connectivity between West Bengal and Assam.
Assam
The Centre has focused on connectivity, infrastructure and food security across North East India. It laid special focus on road expansion, railway connectivity and disaster management infrastructure in past allocations.
Union Minister Sarbananda Sonowal, along with Home Minister Amit Shah and Assam Chief Minister Himanta Biswa Sarma, on January 30, laid foundation stones for infrastructure projects worth ₹1,715 crore in Dibrugarh. Sonowal said Dibrugarh had taken a major step forward in establishing itself as the state’s second capital.
Tamil Nadu
The poll-bound state focuses on welfare, infrastructure, and industrial growth. In the past, the major allocations have been for education, housing scheme and semiconductor manufacturing.
Major highway projects like the Madurai–Kollam (NH-744) and Chittoor–Thatchur corridors are key infrastructure initiatives. The Madurai-Kollam ICR (Two Projects) aim to reduce travel distance and enhance connectivity between major economic hubs, directly benefiting industries and local economies.
The Madurai-Dhanushkodi Highway focuses on improving connectivity to major religious and tourist destinations and enhancing economic activities in the region, while the Chennai-Mahabalipuram-Pondicherry Corridor to enhance the connectivity of coastal areas with economic corridors, crucial for boosting tourism and local industries.
Kerala
As per local reports, the Kerala government is hoping to announce special schemes for the state in the budget. Measures for infrastructure development and increasing domestic production are also expected.
Kerala Finance Minister KN Balagopal reportedly gave a letter to Nirmala Sitharaman, making 29 demands. The letter included demands ranging from a special economic package of ₹21,000 crore, a Defense Research and Development Corridor, a Rare Earth Corridor, and ₹1,000 crore assistance for projects to reduce human-animal conflict and prevent crop damage, Manorama Online reported.
Puducherry
The Puducherry budget has previously focused on schemes and policies to promote environmental sustainability and development goals. Recent plans in the Union Territory include a 4-km four-lane flyover and a 13.5-km arterial road aimed at easing traffic congestion and improving urban mobility.
Union Finance Minister Nirmala Sitharaman will present the central government’s budget on Sunday at 11 an. This will be Nirmala Sitharaman’s ninth budget as the Finance Minister.
The governments of these poll-bound states are hopeful that special projects will be announced in the budget, keeping the upcoming assembly elections in mind.
