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Ahead of the upcoming Bihar assembly elections, Union Finance Minister Nirmala Sitharaman unveiled a slew of development initiatives for the state during her presentation of the Union Budget 2025. The Budget, presented on February 1, 2025, included significant allocations and proposals that directly benefit Bihar, an apparent move to woo voters as the state heads into elections later this year.
Bihar was referred to an astonishing 537 times in Sitharaman’s 77-minute speech, reflecting the central government’s focus on the state in the current fiscal year. The minister’s attention to Bihar came with a series of high-impact projects that promise to transform the state’s infrastructure, agriculture, education, and economy.
One of the most notable announcements was the establishment of a Makhana Board. Makhana is a focus crop for Bihar’s Mithilanchal region, bringing with it much potential for farmers in terms of income. Sitharaman presented that the Makhana Board would help farmers in terms of production, processing, value addition, and marketing. It was hoped that the endeavor would empower the local farmer through support, training, and linking them to appropriate schemes undertaken by the government. This move is seen as a major boost for Bihar’s agricultural sector, with Makhana being one of the state’s most prized exports.
The other decision taken by Sitharaman includes the establishment of the National Institute of Food Technology, Entrepreneurship, and Management in Bihar. It will improve Bihar’s food-processing capacity, so it adds both economic value to local produce and skill development to the youth. The project would create jobs and increase farmers’ income, accelerating industrial growth in eastern India.
The Union Budget also presented plans for the connectivity of Bihar, which is one of the biggest issues in the state. Sitharaman has confirmed the construction of greenfield airports in Bihar in addition to the expansion of Patna airport. Further, Bihita will see the development of a brownfield airport to cater to growing demand for air travel in the region. This falls under the larger umbrella of the UDAN Scheme, where 120 new destinations across the country are to be connected through air services.
On the agricultural front, the Western Kosi Canal Project was specifically mentioned in the budget with financial support for its implementation. This flood management project is expected to benefit farmers in the Mithilanchal region by reducing the damage caused by frequent flooding and enhancing agricultural productivity on over 50,000 hectares of land.
The state also needed a much boost in the education sector, as Sitharaman declared an increase in the capacity of IIT Patna to accommodate more students. It is part of a bigger drive to increase enrollments in India’s prestigious institutions and to upgrade the overall quality of education.
These announcements come at a time when Bihar is headed for the polls and Chief Minister Nitish Kumar is seeking a fourth term. The strategic importance of the state was very much in evidence through expenditure in infrastructure, agricultural development, and job creation to secure one more term in office.
Reacting to the fallout from this exercise, leaders of the opposition have questioned the timing of such moves. “These were natural, coming as they do with Bihar elections due shortly. What’s surprising is that attention was not drawn to Andhra Pradesh, which is an NDA-ruled state,” Congress spokesperson Jairam Ramesh countered.
Bihar, otherwise often perceived to be one state that is definitely behind in both infrastructural as well as the economic development level, is geared for a complete change with this investment.
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