Tamil Nadu Budget 2025-26: Key Announcements & Highlights
The Tamil Nadu government, led by Chief Minister M.K. Stalin, presented the Budget 2025-26 in the Assembly on Friday. The budget, unveiled by Finance Minister Thangam Thenarasu, focuses on welfare schemes, infrastructure development, and education while allocating significant funds to flagship initiatives.
Major Announcements in the Budget:
Free Bus Travel for Women:
- The number of women availing free bus travel has risen from 40% to 65%.
- 50 lakh women use the service daily, making a total of 642 crore trips so far.
- Women save an average of ₹888 per month due to this initiative.
- ₹3,600 crore allocated for the scheme.
Kalaignar Magalir Urimai Thittam – ₹1,000 Monthly Assistance
- ₹13,807 crore allocated for this scheme benefiting 1.15 crore women.
- Women who are eligible but have not yet received the benefit will soon get a chance to apply.
New Working Women’s Hostels
- 10 new ‘Thozhi’ hostels to be set up at a cost of ₹77 crore.
- 13 hostels are already functional across the state.
Infrastructure & Development Projects
- New Airport at Parandur: Work expedited for Chennai’s second airport.
- Kalaignar Kanavu Illam Housing Scheme: 1 lakh new houses to be built with ₹3,500 crore.
- CM’s Rural Roads Development Scheme: ₹2,200 crore allocated for improving rural roads.
- Sponge Parks in Chennai: ₹88 crore earmarked for groundwater recharge and flood mitigation.
Education Sector Highlights
- Samagra Shiksha Scheme: Continued focus on foundational literacy, special education, internet facilities in schools, and educational tours.
- Union Government Withholding Funds: ₹2,152 crore due to Tamil Nadu’s rejection of the New Education Policy (NEP) and its three-language formula.
- The state government has self-financed teacher salaries and student welfare programs despite financial challenges.
The budget, presented ahead of the 2026 state elections, reinforces the DMK government’s commitment to welfare-driven governance and infrastructure development despite financial constraints from the Union government.
