A month after the BJP secured a third term with support from N Chandrababu Naidu’s TDP and Nitish Kumar’s JDU, the 2024 Budget has allocated significant projects to Bihar and Andhra Pradesh, states governed by these crucial allies. Despite rejecting Bihar’s long-standing demand for Special Category Status, Finance Minister Nirmala Sitharaman unveiled multiple developmental initiatives for the state.
To enhance road connectivity, the government plans to build expressways linking Patna with Purnea, Buxar with Bhagalpur, and Bodhgaya, Rajgir, Vaishali, and Darbhanga. An allocation of ₹2,600 crore has been made for these projects. Additionally, Bihar will get a two-lane bridge over the Ganga in Buxar district and a 2,400 MW power plant in Pirpainti, Bhagalpur.
The government will also fulfill Bihar’s request for expedited bank funds for development and plans to develop temple corridors at Gaya and Rajgir to boost tourism. A ₹11,500 crore flood control structure has also been promised.
Bihar is included in the Purvodaya initiative aimed at advancing development in eastern India. This project, targeting Bihar, Jharkhand, West Bengal, Odisha, and Andhra Pradesh, will focus on human resources, infrastructure, and economic opportunities, aiming to make this region a key driver for the vision of a Viksit Bharat.
In Andhra Pradesh, infrastructure projects in railways and roadways will be prioritized. Recognizing the state’s capital needs, ₹15,000 crore will be arranged through multilateral development agencies. The Andhra Pradesh Re-organisation Act’s concerns will also be addressed.
The budget’s allocations for Bihar and Andhra Pradesh highlight the crucial support TDP and JDU provided to the BJP after it fell short of a majority in the recent Lok Sabha elections. The RJD, Bihar’s main opposition, criticized the JDU, accusing them of prioritizing power over the state’s demands for special status. Nitish Kumar expressed satisfaction with the budget, noting that while special status is no longer given, the allocated assistance will support development.
Special status, recommended by the Fifth Finance Commission in 1969, ensures more central support to underdeveloped states. States that have received this status include Jammu and Kashmir (now a Union Territory), northeastern states, and hill states like Himachal Pradesh and Uttarakhand.
