The budget, the first since the saffron brigade came to power after registering a landslide victory in the state assembly polls last month, focuses on welfare spending, infrastructure expansion, and employment generation, while also addressing a long-standing demand of state government employees for higher Dearness Allowance (DA) and gradual parity with Central government employees.

Industry leaders react

Deepak Goel, Chairman and Managing Director of Kolkata-based Laser Power & Infra, said the West Bengal Budget 2026–27 lays a strong foundation for infrastructure-led growth and the modernisation of the state’s power distribution ecosystem.

“The announcement of 15 new 33/11 KV substations and underground cabling projects across 12 towns demonstrates the government’s commitment to strengthening electricity infrastructure, reducing transmission and distribution losses, and improving power reliability,” he said.

Goel further noted that proposed ease-of-doing-business reforms and the introduction of a single-window clearance system would improve project execution timelines and create a more investor-friendly environment.

He also welcomed the government’s vision to position West Bengal as a hub for AI-driven data centres and hyperscale cloud infrastructure, stating that robust power infrastructure will be crucial to enabling this digital transformation.

Prashant Modi, Vice Chairman and Managing Director of Great Eastern Energy Corporation Limited (GEECL), said the budget sends a positive signal for industry. He highlighted reforms in ease of doing business, including simpler clearances, a credible land bank, and a proposed anti-extortion law, calling them key steps toward restoring Kolkata and its industrial belt as an investment hub.

Mahesh Agarwal, Managing Director of Purti Realty, described the budget as a strong and positive message for investors and the real estate sector. He said the emphasis on infrastructure development, regional connectivity, renewable energy, and land reforms reflects a long-term strategy for sustainable growth.

Welcoming the proposed greenfield airport at Kalyani, Agarwal said it could open a new growth corridor along the NH-12 route, boosting residential, commercial, logistics, and industrial development.

Mayank Jalan, Chairman of Keventer Group, said the budget marks a welcome shift toward growth, investment, and job creation after years of underutilised potential. He added that industry looks forward to partnering with the government to drive Bengal’s economic resurgence.

Priti A. Sureka, President of the Merchants’ Chamber of Commerce and Industry (MCCI), said the budget focuses on holistic development across social and economic parameters. She noted initiatives such as logistics hubs, clusters for traditional industries like jute and tea, an IT hub, and a semiconductor unit in Durgapur.

Sandip Nowlakha, a food and beverages business owner, said the government’s focus on tourism, hospitality, skill development, and employment would strengthen West Bengal’s restaurant and café sectors and boost service standards.

Debasish Roy, Founder and CEO of Health Plus Home Healthcare, said the budget is a significant step toward improving healthcare access and affordability. He highlighted expansion of medical infrastructure and support for senior citizens through schemes such as Ayushman Bharat and the Chief Minister’s Relief Fund.

Rajeev Singh, Director General of the Indian Chamber of Commerce, praised the budget for its focus on social welfare, education, health, women-centric initiatives, and unemployment support, stating that it would strengthen grassroots development and stimulate demand in the economy.

Harshavardhan Neotia, Chairman of the Ambuja Neotia Group, said the budget is encouraging as it views growth as an integrated ecosystem rather than isolated initiatives.

Budget at a glance

The budget also provided a major relief to state government employees, including teaching and non-teaching staff, with a 20% hike in Dearness Allowance announced by Finance Minister Swapan Dasgupta.

With this revision, the DA has been raised to 38%, effective from October 1, 2026. However, a 22% gap remains compared to Central government employees.

The DA hike was among the key election promises of the BJP, which came to power in West Bengal on May 4. The party had also pledged to implement the 7th Pay Commission within 45 days of assuming office.

At a post-budget press conference, Chief Minister Suvendu Adhikari assured employees that the remaining gap would be addressed gradually.

“Keep faith in Dr. Swapan Dasgupta. Wait for his next budget,” he said.

The budget also announced recruitment for one lakh government posts, including teachers and police personnel, with 33% reservation for women.

A major welfare allocation of ₹36,000 crore was made under the Annapurna Yojana to support women beneficiaries across the state.

In a push for education and regional development, the government also announced plans to establish an IIT, an IIM, and an AIIMS in North Bengal.