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SASCI funding for three UTs nearly doubled; Delhi will try to achieve maximum benefit from this central assistance: CM Rekha Gupta


The CM said measures announced to improve ease of doing business, ranging from support to municipal bodies for fund mobilisation to regulatory relief for IT and services and reforms in corporate bonds, would have a pronounced impact on Delhi.


Published date india.com
Published: February 2, 2026 8:21 PM IST

SASCI funding, Delhi, CM Rekha Gupta, Rekha Gupta, Union Budget 2026–27, Puducherry, Jammu & Kashmir, Delhi Metro Phase IV, Narendra Modi, Nirmala Sitharaman
(File)
New Delhi: Chief Minister Rekha Gupta on Monday said the Union Budget 2026–27 marks a turning point for Delhi’s development trajectory, with a sharp increase in Central support under the Special Assistance Scheme for Capital Investment (SASCI) providing the Capital with greater fiscal room to accelerate infrastructure creation without burdening its own finances.

Addressing a press conference at the Delhi Secretariat, the Chief Minister said the expansion of SASCI from ₹1.5 lakh crore to ₹2 lakh crore nationally, which is an increase of nearly 33%, would directly benefit Delhi, which, along with Puducherry and Jammu & Kashmir, depends on Central assistance for large capital works.

“SASCI funding for the three Union Territories has nearly doubled. Delhi will try to achieve maximum benefit from this central assistance to fast-track roads, flyovers, buses, water supply and sewerage projects without putting additional pressure on the state budget,” Smt Rekha Gupta said.

The Centre has more than doubled capital transfers to Union Territories with legislatures that include Delhi, Jammu and Kashmir, and Puducherry, by raising the allocation from ₹6,275 crore to ₹15,380 crore, including funds under the SASCI scheme. While Delhi’s exact share is yet to be finalised, officials said the enhanced allocation could substantially augment funding for infrastructure projects in the Capital, depending on proposals submitted by the Delhi government.

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Under SASCI, the Centre provides 50-year interest-free loans to support capital works such as roads, flyovers, bridges and hospital infrastructure. In the current financial year, Delhi received ₹825 crore under the scheme, which was utilised for projects including Delhi Metro Phase IV and the upgradation of roads and drains.

The SASCI scheme was introduced in 2020-21 to address financial stress triggered by the Covid-19 pandemic and Union Territories with legislatures were brought under its ambit last year.

Centre–Delhi coordination reflected in Budget allocations

The CM expressed her gratitude to Prime Minister Shri Narendra Modi, stating that the Budget presented under his leadership exemplifies both economic strength and social balance.

She also thanked Finance Minister Smt. Nirmala Sitharaman, noting that the Budget is balanced, forward-looking and aligned with the needs of the common citizen. The Chief Minister expressed special appreciation for Union Home Minister Shri Amit Shah for his continued support in matters relating to Delhi’s security, law and order, and administrative responsibilities.

She added that while previous governments often complained about lack of funds, the Centre has always supported Delhi and the latest budget reflected sustained coordination between the Union and the Delhi governments.

The Chief Minister said continuous dialogue with the Central Government on funds and projects had ensured that Delhi’s priorities received focused attention in the budget. She said sectors such as transport, water, health, employment and security yield the best outcomes when the Centre and the state work in tandem.

“The Union Budget provides employment and development opportunities for Delhi. The Delhi Government is working together with the Union Government towards Viksit Bharat 2047 and Viksit Delhi,” she said.

Calling the Budget “next generation” in nature, Smt Gupta said it connects multiple sectors from health and tourism to education and employment generation into a single development framework.

“It won’t be wrong to call it a ‘next-generation’ Budget as it connects all sectors, including health and tourism, to employment generation,” she said.

The CM said that the Delhi government will make efforts to ensure that the proposed Narela education hub is included among the five new university townships announced in the Union Budget this year.

Direct Central assistance of ₹1,348 crore for infrastructure and water

The Chief Minister said Delhi has received direct Central assistance of ₹1,348 crore in the Union Budget, to be utilised for infrastructure creation, water supply and basic civic facilities.

She cited the Chandrawal Water Treatment Plant project as a key initiative that would benefit from such support, particularly in older and water-stressed parts of the city.

“Projects like Chandrawal will improve water supply, increase pressure in older areas and help move Delhi towards the goal of round-the-clock water availability,” Smt Rekha Gupta said, adding that the allocation reflected the Centre’s understanding of the Capital’s day-to-day challenges.

Orange Economy and AVGC sector to open new opportunities

The Chief Minister welcomed the Union Finance Minister’s emphasis on the Orange Economy, particularly the push for Animation, Visual Effects, Gaming and Comics (AVGC). She said the Centre’s proposal to set up Content Creation Labs in 15,000 secondary schools and 500 colleges nationwide would be leveraged by Delhi to nurture creative talent and generate employment and Delhi will try to work with the Centre and set up these labs in the secondary schools and colleges of the Capital.

“Delhi is a services-sector-driven state. This sector has immense potential for rapid growth here, and our effort will be to ensure that Delhi’s youth get platforms for their creative talent and employment opportunities within the city,” Chief Minister said.

She also hailed Budget announcements related to electric vehicles, solar infrastructure and education, calling them aligned with Delhi’s long-term sustainability goals.

Delhi Police budget fully borne by Centre at ₹12,503 crore

Smt Rekha Gupta highlighted the ₹12,503 crore allocation for the Delhi Police in 2026–27, stressing that the entire expenditure is borne by the Central Government, unlike in other states, where police funding is met from state budgets. This covers salaries, police stations, vehicles, technology and the entire security apparatus. Because the Centre bears this cost, the Delhi Government is able to spend more on schools, hospitals, roads, water and welfare schemes for the poor.

Capital expenditure push to boost construction and jobs

Referring to the national increase in capital expenditure from ₹11.2 lakh crore to ₹12.2 lakh crore, CM said the Budget is clearly development-oriented and will spur construction activity and job creation across the country, with major urban centres like Delhi among the biggest beneficiaries.

The CM said that this will translate into more roads, more projects and large-scale employment, adding that Delhi’s service-driven economy stands to gain from the multiplier effects of higher public investment.

Women and youth at the centre of the Budget

Smt Rekha Gupta said the budget places special emphasis on women and youth, with provisions such as girls’ hostels in every district aimed at enabling better access to education and employment. She added that new avenues have been opened for youth through skill development, technology adoption and employment generation, with particular focus on sectors such as health, sports and tourism.

High-speed rail corridor to strengthen Delhi’s economic role

Smt Rekha Gupta said the proposed Delhi-Varanasi high-speed rail corridor, part of seven such corridors announced nationwide, would enhance connectivity, promote tourism, boost trade and create employment. She said the project would further strengthen Delhi’s position as a major economic and transport hub, while easing long-distance travel.

Other budget announcements

Emphasising Delhi’s dependence on small traders and service providers, the Chief Minister said the ₹10,000 crore fund announced for small businesses would directly benefit the Capital’s economy. This will ensure quicker access to capital, easier credit and expansion opportunities for lakhs of small traders, shopkeepers and service professionals in Delhi, she said.

The CM said measures announced to improve ease of doing business, ranging from support to municipal bodies for fund mobilisation to regulatory relief for IT and services and reforms in corporate bonds, would have a pronounced impact on Delhi.

“With a large concentration of companies, start-ups and professionals, Delhi will see easier capital mobilisation, higher investment and job creation,” she said.

Concluding, the CM said that the Union Budget 2026-27 demonstrates the Central Government’s serious commitment to Delhi’s development and reflects the outcomes of sustained engagement between the two governments.

She affirmed that the Delhi Government would work closely with the Centre to ensure time-bound implementation of schemes and that benefits reach citizens on the ground. In partnership with the Union Government, we will ensure every provision of this budget translates into real development for the people of Delhi, the Chief Minister said.






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