Uttar Pradesh's Strategic Demands in Union Budget 2026 as Election Year Dawns
With the commencement of the new fiscal year on April 1, Uttar Pradesh is poised to enter a crucial election year, as assembly elections are scheduled for early next year. Consequently, the state government has placed substantial expectations on the Union Budget, which will be presented by Finance Minister Nirmala Sitharaman on Sunday. This budget is viewed as a pivotal moment for addressing the state's developmental needs ahead of the electoral contest.
Key Demands from Uttar Pradesh Government
During the recent pre-budget meeting of states, Uttar Pradesh Finance Minister Suresh Khanna outlined several critical demands to the Union government. These requests span multiple sectors, reflecting the state's urgent priorities for infrastructure, healthcare, and judicial administration.
- Establishment of an AIIMS in West UP: One of the foremost demands is the setting up of an All India Institute of Medical Sciences (AIIMS) in the West Uttar Pradesh region. Currently, this area lacks any super speciality hospital, and the proposed AIIMS aims to bridge this healthcare gap, providing advanced medical facilities to residents.
- Payment of Dues under Namami Gange Scheme: The state has requested the Centre to clear outstanding dues amounting to Rs 33,000 crore under the piped water component of the Namami Gange scheme. This funding is essential for ensuring water supply to all households as part of the initiative.
- Judicial Reorganisation: In a significant move, the government has asked for the transfer of all districts attached to the Allahabad High Court from the West UP region to the Lucknow bench. This demand stems from requests by districts in West UP, aiming to streamline judicial processes and improve accessibility.
- Increased Urbanisation Fund: Uttar Pradesh has sought a raise in urbanisation funds, citing outdated data from the 2011 census, which pegged urbanisation at only 22%. With the number of local bodies now exceeding 740 and urbanisation reaching over 27%, the state argues that current funding levels are inadequate for infrastructure development in growing urban areas.
- New Expressway Project: The government plans to construct another expressway connecting the northern and southern parts of the state, complementing the existing Ganga expressway that links east and west. Funds for this project have been formally requested from the Centre, with northern districts like Saharanpur and Muzaffarnagar and southern areas including Sonebhadra set to benefit.
Broader Implications and Expert Insights
Experts suggest that if these demands are heeded, the increased urbanisation fund could significantly boost infrastructure development across Uttar Pradesh. This, in turn, may enhance the state's economic growth and improve public services, factors that could influence voter sentiment in the upcoming elections.
The Union Budget 2026 is thus not just a financial blueprint but a potential catalyst for Uttar Pradesh's developmental trajectory. As the state navigates an election year, the outcomes of these demands will be closely watched by policymakers, citizens, and political analysts alike.
