→ Rajasthan Budget 2026-27 is one of the most important topics for aspirants preparing for the RSMSSB CET Graduate Level Examination 2026 and other Rajasthan state government exams. The Deputy Chief Minister of Rajasthan, Ms. Diya Kumari, presented the Budget for the financial year 2026-27 on 11 February 2026. This detailed analysis covers all key figures, schemes, allocations, and fiscal indicators that are frequently asked in competitive examinations.

Budget Highlights 2026-27

  • The Gross State Domestic Product (GSDP) of Rajasthan for 2026-27 (at current prices) is projected at Rs 21,52,100 crore, a growth of about 15% over the revised estimates for 2025-26.
  • Expenditure (excluding debt repayment) in 2026-27 is estimated at Rs 4,05,632 crore, an increase of 13% over the revised estimate for 2025-26. In addition, debt of Rs 2,05,324 crore will be repaid by the state.
  • Receipts (excluding borrowings) for 2026-27 are estimated at Rs 3,26,140 crore, up 14% over the revised estimate of 2025-26.
  • Revenue deficit in 2026-27 is estimated at 1.1% of GSDP (Rs 24,314 crore), lower than the revised estimate for 2025-26 (1.8% of GSDP).
  • Fiscal deficit for 2026-27 is targeted at 3.7% of GSDP (Rs 79,493 crore). In 2025-26, as per revised estimates, fiscal deficit is expected to be 3.9% of GSDP, lower than the budget estimate of 4.3% of GSDP.

Key Policy Highlights

  • Self-employment for youth: The Mukhyamantri Yuva Swarojgar scheme will be launched to provide self-employment to nearly one lakh youths, offering 100% interest subsidy on loans up to Rs 10 lakh to eligible beneficiaries. An allocation of Rs 1,000 crore has been made.
  • Women empowerment: The loan limit under the Lakhpati Didi scheme will be raised from Rs 1 lakh to Rs 1.5 lakh.
  • Farmers: A 100% interest waiver will be given to farmers in colonisation areas who have outstanding dues. Beneficiaries must deposit the outstanding loan amount between 1 April 2026 and 30 September 2026.
  • Animal husbandry: The Rajasthan Cooperative Dairy Infrastructure Development fund will be doubled from Rs 1,000 crore to Rs 2,000 crore.
  • Tax proposals: Amnesty schemes will be introduced for VAT, agricultural marketing, land revenue, transport and mining. Stamp duty and registration fees on loans will be lowered, green tax rates on polluting vehicles revised, and up to 50% rebate on motor vehicle tax for non-transport vehicles brought from other states.

Rajasthan's Economy

  • GSDP growth: In 2025-26, Rajasthan's GSDP (at constant prices) is estimated to grow by 8.7% over the previous year, compared with India's GDP growth of 7.4% in 2025-26.
  • Sectoral share: In 2025-26, agriculture, manufacturing and services are estimated to contribute 25.7%, 26.5% and 47.7% respectively to the state's economy (at current prices).
  • Per capita GSDP: In 2025-26, Rajasthan's per capita GSDP (at current prices) is estimated at Rs 2,25,200, up 9.1% over the previous year. India's per capita GDP is estimated at Rs 2,51,393, an increase of 7%.

Budget Estimates 2026-27 — Key Figures (Rs crore)

Items 2024-25 Actuals 2025-26 BE 2025-26 RE 2026-27 BE
Total Expenditure 4,53,066 5,37,069 5,58,596 6,10,956
(-) Repayment of debt 1,52,872 1,57,452 1,99,124 2,05,324
Net Expenditure (E) 3,00,194 3,79,617 3,59,472 4,05,632
Total Receipts 4,39,745 5,28,461 5,49,522 6,01,480
(-) Borrowings 2,11,970 2,33,488 2,62,542 2,75,340
Net Receipts (R) 2,27,774 2,94,973 2,86,980 3,26,140
Fiscal Deficit (E-R) 72,420 84,644 72,493 79,493
  as % of GSDP 4.3% 4.3% 3.9% 3.7%
Revenue Deficit 41,950 31,009 32,983 24,314
  as % of GSDP 2.5% 1.6% 1.8% 1.1%
Primary Deficit 34,075 44,585 29,532 35,817
  as % of GSDP 2.0% 2.2% 1.6% 1.7%
GSDP 17,01,190 19,89,835 18,75,413 21,52,100

→ Note: BE = Budget Estimates; RE = Revised Estimates. Total expenditure is proposed to be met through receipts (excluding borrowings) of Rs 3,26,140 crore and net borrowings of Rs 70,017 crore.

Expenditure in 2026-27

  • Revenue expenditure for 2026-27 is proposed at Rs 3,50,054 crore, up 10% over the revised estimate of 2025-26, covering salaries, pension, interest, grants and subsidies.
  • Capital outlay for 2026-27 is proposed at Rs 53,978 crore, an increase of 37% from the revised estimate of 2025-26, for creation of assets such as roads and buildings.
  • Sectors with a higher increase in capital outlay include urban development (up Rs 6,658 crore) and water supply & sanitation (up Rs 3,231 crore).

Expenditure Budget 2026-27 (Rs crore)

Items 2024-25 Actuals 2025-26 BE 2025-26 RE 2026-27 BE
Revenue Expenditure 2,69,200 3,25,546 3,18,516 3,50,054
Capital Outlay 30,727 53,686 39,429 53,978
Loans given by the state 267 384 1,527 1,600
Net Expenditure 3,00,194 3,79,617 3,59,472 4,05,632

Underspending on Capital Outlay

→ Rajasthan's actual capital outlay has consistently fallen below budget estimates. In 2024-25 it was 31% lower than budgeted, and in 2025-26 (RE) it is expected to be 27% lower than the budget estimate. On average, the state underspent its capital outlay budget by 23% between 2015-16 and 2023-24. Under the Scheme for Special Assistance to States for Capital Investment (SASCI), the centre provides 50-year interest-free loans; in 2024-25 Rajasthan funded 30% of its capital outlay through SASCI loans, and in 2026-27 it is estimated to receive Rs 15,000 crore (about 28% of its capital outlay budget).

Subsidies

→ As per CAG, Rajasthan spent Rs 28,402 crore on subsidies in 2023-24 (14% of its revenue receipts), higher than the states' average of 9%. In 2026-27, the state estimates spending of Rs 42,191 crore on agricultural subsidies, including power subsidy to farmers.

Committed Expenditure in 2026-27 (Rs crore)

→ In 2026-27, Rajasthan is estimated to spend Rs 1,68,403 crore on committed expenditure, about 52% of its estimated revenue receipts — salaries (27%), pension (12%) and interest payments (13%). In 2024-25 actuals, 61% of revenue receipts went to committed expenditure.

Items 2024-25 Actuals 2025-26 BE 2025-26 RE 2026-27 BE
Salaries 70,791 83,775 79,689 86,906
Pension 29,318 33,882 35,174 37,821
Interest payment 38,345 40,058 42,961 43,675
Total 1,38,454 1,57,715 1,57,824 1,68,403

Sector-wise Expenditure 2026-27 (Rs crore)

→ The sectors below account for about 70% of the total sectoral expenditure of the state in 2026-27.

Sector 2024-25 Actuals 2025-26 BE 2025-26 RE 2026-27 BE
Education, Sports, Arts & Culture 54,844 68,369 65,260 68,989
Energy 32,744 40,198 34,373 42,752
Rural Development 15,167 24,587 26,501 32,948
Health & Family Welfare 25,678 31,888 30,168 32,526
Social Welfare & Nutrition 21,452 26,639 24,034 26,495
Urban Development 9,863 16,811 12,769 20,184
Agriculture & Allied Activities 11,586 16,558 16,521 18,212
Transport 13,538 18,909 14,707 16,639
Water Supply & Sanitation 10,530 13,558 10,638 14,288
Police 9,168 11,125 10,697 11,729

→ Key sector allocations (2026-27): Samagra Shiksha Abhiyan Rs 13,768 crore; mid-day meals Rs 2,092 crore; grants for non-revision of electricity tariffs Rs 29,432 crore; rural employment guarantee scheme Rs 7,481 crore; National Rural Health Mission Rs 4,854 crore; Rajasthan Government Health Scheme 2021 Rs 3,817 crore; Chief Minister Old Age Samman Pension Yojana Rs 10,411 crore; AMRUT Mission 2.0 Rs 6,766 crore; agricultural insurance Rs 5,988 crore; roads and bridges Rs 12,038 crore; rural water supply Rs 5,747 crore; urban water supply Rs 3,934 crore; and district police Rs 8,526 crore.

Receipts in 2026-27

→ Total revenue receipts for 2026-27 are estimated at Rs 3,25,740 crore, up 14% over the revised estimate of 2025-26. Of this, Rs 1,91,103 crore (59%) will be raised by the state through its own resources and Rs 1,34,637 crore (41%) will come from the centre — as the state's share in central taxes (28% of revenue receipts) and grants (14%).

  • Devolution: The state's share in central taxes is estimated at Rs 90,446 crore, up 8% over 2025-26 RE.
  • Grants from centre: Estimated at Rs 44,191 crore, up 17% over 2025-26 RE.
  • State's own tax revenue: Estimated at Rs 1,62,668 crore, up 17% over 2025-26 RE. Own tax revenue as % of GSDP is 7.6% in 2026-27 (7.4% in 2025-26 RE; 6.1% in 2024-25 actuals).

Break-up of the State Government's Receipts (Rs crore)

Items 2024-25 Actuals 2025-26 BE 2025-26 RE 2026-27 BE
State's Own Tax 1,03,310 1,42,743 1,38,539 1,62,668
State's Own Non-Tax 23,503 26,883 25,143 28,435
Share in Central Taxes 77,548 85,716 83,940 90,446
Grants-in-aid from Centre 22,890 39,193 37,910 44,191
Revenue Receipts 2,27,250 2,94,535 2,85,533 3,25,740
Non-debt Capital Receipts 524 436 1,446 400
Net Receipts 2,27,774 2,94,973 2,86,980 3,26,140

Major Sources of State's Own-Tax Revenue (Rs crore)

→ In 2026-27, State GST is the largest source of own tax revenue (45% share), estimated to rise 18% over 2025-26 RE. Sales Tax/VAT is expected to increase 21%, and state excise 11%. In 2025-26 RE, land revenue is estimated at almost twice the budget estimate.

Head 2024-25 Actuals 2025-26 BE 2025-26 RE 2026-27 BE
State GST 42,518 63,600 61,700 72,500
Sales Tax/ VAT 23,369 30,780 28,000 33,800
State Excise 15,104 19,720 19,000 21,000
Stamps Duty & Registration Fees 10,542 14,350 15,000 18,750
Taxes on Vehicles 7,574 9,860 9,600 11,000
Taxes & Duties on Electricity 3,280 3,500 3,425 3,785
Land Revenue 869 881 1,761 1,781

Deficits and Debt in 2026-27

→ The Rajasthan Fiscal Responsibility and Budget Management (FRBM) Act, 2005 provides annual targets to progressively reduce outstanding debt, revenue deficit and fiscal deficit.

  • Revenue balance: A revenue deficit of Rs 24,314 crore (1.1% of GSDP) is estimated in 2026-27, lower than 2025-26 (1.8% of GSDP).
  • Fiscal deficit: Estimated at 3.7% of GSDP in 2026-27. The 16th Finance Commission has recommended an annual fiscal deficit limit of 3% of GSDP for states for 2026-31, excluding 50-year interest-free capex loans from the borrowing ceiling. In 2025-26 RE, fiscal deficit is expected to be 3.9% of GSDP (below the 4.3% budget estimate).
  • Outstanding liabilities: Estimated at 36.8% of GSDP at end of 2026-27, lower than 2025-26 RE (38% of GSDP). At end of 2023-24, outstanding liabilities were 37.3% of GSDP (37.9% including off-budget borrowings).

Off-Budget Borrowings (as of 31 March 2024, Rs crore)

→ Total off-budget borrowings stood at Rs 8,043 crore, of which 87% were for the Rajasthan Water Supply and Sewage Corporation (RWSSC). In 2023-24, the state provided assistance of Rs 703 crore for repayment and servicing.

Entity Amount
RWSSC from HUDCO and Bank of Maharashtra 7,000
RWSSC from LIC 2
Zila Parishads from HUDCO 1,041
Total 8,043

→ Outstanding Government Guarantees: As of 31 December 2025, the state's outstanding guarantee is estimated at Rs 1,27,210 crore (6.8% of 2025-26 GSDP).

16th Finance Commission Recommendations (2026-31)

→ The Report of the 16th Finance Commission (Chair: Dr. Arvind Panagariya) was tabled in Parliament on 1 February 2026, applicable for 2026-27 to 2030-31. Key points for exams:

  • The share of states in the divisible pool of central taxes is recommended at 41%, unchanged from the 15th Finance Commission (2020-26).
  • Based on the 16th FC's revised criteria, Rajasthan will have a 5.93% share in the divisible pool during 2026-31 (6.03% under the 15th FC, 5.50% under the 14th FC).
  • Total grants of Rs 9.47 lakh crore recommended over five years, comprising grants for urban and rural local bodies and disaster management.
  • Discontinued grants: revenue deficit grants, sector-specific grants and state-specific grants.
  • Grants for Rajasthan (2026-31): urban local bodies Rs 12,680 crore, rural local bodies Rs 31,467 crore, and disaster management Rs 9,211 crore. Jaipur and Jodhpur will each be eligible for up to Rs 5,000 crore special infrastructure grant for wastewater management.
  • The 16th FC recommended discontinuing off-budget borrowings and including them in the definition of fiscal deficit and debt.

Rajasthan's Share in Central Tax Devolution (out of 100)

Finance Commission Rajasthan's Share
14th FC (2015-2020) 5.50
15th FC (2021-26) 6.03
16th FC (2026-31) 5.93

Taxes Devolved to Rajasthan (Union Budget 2026-27, Rs crore)

Year Amount
2024-25 Actuals 76,779
2025-26 Revised 83,940
2026-27 Budget 90,446

Rajasthan's Expenditure on Key Sectors vs. States' Average

→ Comparison of Rajasthan's 2026-27 expenditure on six key sectors (as a share of total expenditure) with the average of 31 states (2025-26 BE):

Sector Rajasthan 2026-27 States' Average 2025-26
Education 17.1% 14.5%
Health 8.1% 6.2%
Rural Development 8.2% 4.9%
Energy 10.6% 5.3%
Agriculture 4.5% 5.7%
Irrigation 2.8% 3.4%

Quick Revision — Rajasthan Budget 2026-27 (For CET Aspirants)

  • Presented by: Deputy CM Ms. Diya Kumari on 11 February 2026.
  • GSDP (2026-27): Rs 21,52,100 crore (15% growth).
  • Net Expenditure: Rs 4,05,632 crore | Net Receipts: Rs 3,26,140 crore.
  • Fiscal Deficit: 3.7% of GSDP (Rs 79,493 crore).
  • Revenue Deficit: 1.1% of GSDP (Rs 24,314 crore).
  • Flagship scheme: Mukhyamantri Yuva Swarojgar Yojana (Rs 1,000 crore).
  • 16th FC share for Rajasthan: 5.93% of divisible pool.

Conclusion

→ The Rajasthan Budget 2026-27 focuses on youth self-employment, women empowerment, farmer relief and higher capital investment, while improving key fiscal indicators such as the revenue and fiscal deficits. For RSMSSB CET 2026 and other Rajasthan state exam aspirants, remembering the headline figures, flagship schemes and 16th Finance Commission points will help score well in the economy and current affairs sections.

→ Source: Rajasthan Budget Documents 2026-27; PRS Legislative Research. Data compiled and simplified for educational purposes by Cosmo Classes.

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