Budget 2024: FM Sitharaman Boosts Bihar And Andhra Pradesh, Key Allocations For JDU And TDP Allies

In a budget characterized by strategic support for key NDA allies, Finance Minister Nirmala Sitharaman has delivered substantial assistance to Bihar and Andhra Pradesh, addressing the priorities of the TDP and JDU, crucial allies for the stability of the Narendra Modi 3.0 government.

Focused Support for Andhra Pradesh The Union Budget has earmarked ₹15,000 crore for the development of Andhra Pradesh in the current financial year, with additional funds promised for subsequent years. Sitharaman emphasized that efforts will be made to honor commitments under the AP Reorganisation Act, including grants for the state’s backward regions and notable projects such as the Polavaram Dam.

Major Investments in Bihar For Bihar, the budget includes plans for new airports, medical colleges, and sports facilities. Sitharaman announced a significant allocation of ₹26,000 crore for highway development in Bihar, covering major routes such as Patna-Purnia, Buxar-Bhagalpur, and the Bodhgaya-Rajgir-Vaishali-Darbhanga Expressway. Additionally, a new two-lane bridge over the Ganga River in Buxar and a 2,400 MW power plant in Bihar were included in the budget. An industrial corridor node in Gaya was also promised.

Political Impact and Reactions The allocations reflect the importance of Bihar and Andhra Pradesh in the coalition politics of the NDA government. Both Nitish Kumar of JDU and Chandrababu Naidu of TDP had lobbied for special assistance before the budget announcement. The TDP’s Ram Mohan Naidu was visibly supportive, giving a thumbs-up during the announcement of funds for Andhra Pradesh.

The budget’s focus on these key states underscores the coalition’s commitment to addressing regional needs while ensuring political stability within the NDA alliance.