Delhi Raises Capital Spend to Rs 302.5 Billion in FY26

14 Jan 2026 CW Team

The Delhi government has revised its spending plans for 2025–26, increasing capital expenditure to fast-track key projects across transport, education, urban development and river rejuvenation.

Capital outlay has been raised from Rs 281.15 billion in the original Budget Estimates to Rs 302.48 billion under the Revised Estimates, signalling a stronger focus on long-term infrastructure creation. Chief Minister Rekha Gupta, who also holds the finance portfolio, presented the supplementary demands for grants in the Delhi Assembly, which were approved through a voice vote.

The revisions come months after Gupta presented her maiden budget for 2025–26 in March, shortly after assuming office. While the overall allocation for schemes, programmes and projects has been marginally reduced from Rs 593.0 billion to Rs 578.5 billion, several priority sectors have received significant increases.

Spending on transport, including roads and bridges, has been sharply increased from Rs 129.52 billion to Rs 160.24 billion. Allocations for education have risen from Rs 192.91 billion to Rs 207.02 billion, taking the sector’s share to 21 per cent of Delhi’s Rs 1 trillion budget.

Housing and urban development has also seen higher support, with revised estimates climbing to Rs 117.54 billion. Funding for Delhi Metro Rail Corporation has nearly doubled, rising by Rs 21.17 billion to Rs 50.47 billion.

The Municipal Corporation of Delhi has received an additional Rs 10.31 billion, while allocations for the Delhi Jal Board and the Delhi Transport Corporation have also been enhanced through higher loans and grants.

Several specific heads have been strengthened, including road development, land and flat purchases for universities, and power subsidies, which now stand at Rs 40.0 billion. Funds have also been earmarked to clear legacy liabilities related to the Eastern and Western Peripheral Expressways.

The government’s contribution to the Yamuna Action Plan has nearly tripled, funding for unauthorised colonies has been increased, and additional allocations have been approved to complete the long-pending Barapullah Phase III corridor and settle outstanding tuition fee reimbursements under the Right to Education Act.

The Delhi government has revised its spending plans for 2025–26, increasing capital expenditure to fast-track key projects across transport, education, urban development and river rejuvenation. Capital outlay has been raised from Rs 281.15 billion in the original Budget Estimates to Rs 302.48 billion under the Revised Estimates, signalling a stronger focus on long-term infrastructure creation. Chief Minister Rekha Gupta, who also holds the finance portfolio, presented the supplementary demands for grants in the Delhi Assembly, which were approved through a voice vote. The revisions come months after Gupta presented her maiden budget for 2025–26 in March, shortly after assuming office. While the overall allocation for schemes, programmes and projects has been marginally reduced from Rs 593.0 billion to Rs 578.5 billion, several priority sectors have received significant increases. Spending on transport, including roads and bridges, has been sharply increased from Rs 129.52 billion to Rs 160.24 billion. Allocations for education have risen from Rs 192.91 billion to Rs 207.02 billion, taking the sector’s share to 21 per cent of Delhi’s Rs 1 trillion budget. Housing and urban development has also seen higher support, with revised estimates climbing to Rs 117.54 billion. Funding for Delhi Metro Rail Corporation has nearly doubled, rising by Rs 21.17 billion to Rs 50.47 billion. The Municipal Corporation of Delhi has received an additional Rs 10.31 billion, while allocations for the Delhi Jal Board and the Delhi Transport Corporation have also been enhanced through higher loans and grants. Several specific heads have been strengthened, including road development, land and flat purchases for universities, and power subsidies, which now stand at Rs 40.0 billion. Funds have also been earmarked to clear legacy liabilities related to the Eastern and Western Peripheral Expressways. The government’s contribution to the Yamuna Action Plan has nearly tripled, funding for unauthorised colonies has been increased, and additional allocations have been approved to complete the long-pending Barapullah Phase III corridor and settle outstanding tuition fee reimbursements under the Right to Education Act.

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