Gandhinagar: Gujarat Finance Minister Kanubhai Desai in his post-budget briefing today said that most of Gujarat’s existing debt was incurred for the Narmada Sardar Sarovar Nigam projects; since then (the completion of Narmada dam), the State has not needed to take on significant additional debt.

Speaking about Gujarat’s robust financial discipline the Finance Minister said – ‘I can say with certainty that Gujarat’s financial discipline is the best in India. We have consistently adhered to all fiscal parameters set by the Fiscal Responsibility Act of 2005, even during the COVID-19 pandemic when other states required more financial leeway.’

‘For the year 2026-27, we estimate a revenue surplus of ₹25,527 crore, which accounts for 0.7% of our GSDP, indicating a very strong financial position.’

‘Furthermore, our fiscal deficit for 2026-27 is projected at 1.97%, well below the prescribed 3% limit. This means Gujarat remains fiscally stable and does not require special permissions for its borrowing needs.’

‘We have kept all our debt strictly within limits. Against a public debt limit of 27.10% of GSDP, our projected public debt for 2026-27 is 14.65%, which is less than 15%. More importantly, we have been successful in securing loans at very competitive rates.’

‘For the 2025-26 financial year, the weighted average interest rate on our debt is 5.95%. While Gujarat has the capacity to borrow more to accelerate development, we are not increasing our debt unnecessarily.’

‘Most of Gujarat’s existing debt was incurred for the Narmada Sardar Sarovar Nigam projects; since then (completion of Narmada dam), we have not needed to take on significant additional debt.’

Desai described today’s budget that he presented as a historic budget for the State as its size is record high ₹4,08,053 crores.

‘With the vision of ‘Viksit Bharat 2047’ and ‘Atmanirbhar Bharat’ led by our successful Prime Minister Shri Modiji, this is the fifth budget of Hon. Chief Minister Shri Bhupendra Patel’s government. This budget focuses on the goals of Viksit Bharat 2047 and also the year 2035, which will mark 75 years of Gujarat’s establishment.’

‘Within these two roadmaps, we have increased infrastructure spending by nearly 40%, with a strong focus on manufacturing—specifically semiconductors and industrial production—to boost employment opportunities.’

‘Additionally, on the occasion of Lord Birsa Munda’s 150th birth anniversary, we have planned for the development of the tribal belt stretching from Ambaji to Umargam, aligning with the ₹2 lakh crore scheme announced by Hon. Modiji. We have also declared this year as the ‘Year of Tourism’ to further promote tourism in Gujarat,’ the Finance Minister said. DeshGujarat