Coalition compulsion writ large over Budget 2024-25

The Union Budget 2024-25, presented by Finance Minister Nirmala Sitharaman, has provided significant support to Bihar and Andhra Pradesh, catering to the needs of key National Democratic Alliance (NDA) allies such as the Telugu Desam Party (TDP) and the Janata Dal United (JDU).

Demonstrating a strong example of coalition politics, the latest budget of the Narendra Modi 3.0 government has shown a deep commitment to the development of Bihar and Andhra Pradesh. Sitharaman has outlined various financial aids and infrastructure projects for both states, which are crucial for maintaining the stability of the NDA government at the Centre, given their respective 16 and 12 MPs.

Modi follows coalition dharma, allots handsome packages to Bihar, Andhra Pradesh

In her budget speech, the finance minister announced an allocation of Rs 15,000 crore for the development of Andhra Pradesh in the current fiscal year, with promises of additional funds in the coming years. She reiterated the government's dedication to the Andhra Pradesh Reorganisation Act by pledging grants for the underdeveloped regions of the state, with a special focus on the Polavaram Dam project.

For Bihar, Sitharaman unveiled plans for the establishment of new airports, medical colleges, and sports infrastructure. She also assured the state government that their requests for funding from multilateral banks would be expedited. Furthermore, a budget of Rs 26,000 crore has been set aside for the construction of highways in Bihar, including projects like the Patna-Purnia, Buxar-Bhagalpur, and Bodhgaya-Rajgir-Vaishali-Darbhanga Expressways, in addition to a new two-lane bridge over the Ganga in Buxar. The announcement of a 2,400 MW power plant and an industrial corridor node in Gaya further highlights the government's commitment to the state's development.

Bihar is poised to benefit from the Purvodaya initiative, which aims to accelerate growth in the eastern part of the country. Sitharaman emphasized, "We will implement Purvodaya for the holistic development of Bihar, Jharkhand, West Bengal, Odisha, and Andhra Pradesh," underscoring that the project will concentrate on enhancing human resources, improving infrastructure, and creating economic opportunities to transform this region into a key driver of India's progress towards becoming a developed nation.

Nitish Kumar and Chandrababu Naidu had pressed for 'special assistance' for their respective states during pre-budget discussions with Union ministers. Cabinet Minister and TDP leader Ram Mohan Naidu was observed expressing support and giving a positive gesture as Sitharaman unveiled the allocations for Andhra Pradesh, indicating the coalition's approval of the budgetary measures.