Budget 2025: From Makhana Board to airport, what FM's 'bahi khata' contains for Bihar

Key Announcements for Bihar in Budget 2025: Union Finance Minister Nirmala Sitharaman presented her eighth consecutive budget in Parliament on Saturday, February 1. In her budget speech for the financial year 2025-26, she made several significant announcements, including a zero tax on annual income up to Rs 12 lakh, raising the FDI limit for the insurance sector to 100 per cent, the introduction of a new Income Tax Bill next week, and the launch of a new Fund of Funds scheme for startups, among other measures.

In addition to these national announcements, Nirmala Sitharaman made key announcements specifically for Bihar. With the state heading into assembly elections this year, these announcements are seen as particularly significant and have garnered considerable attention. Notable highlights for Bihar include the establishment of a Makhana Board, financial assistance for the Western Koshi Canal ERM project, the expansion of IIT Patna, and the development of a Greenfield Airport. It is also worth noting that the Finance Minister presented the budget while wearing a cream-colored saree adorned with Mithila painting.

Makhana Board for Production, Marketing, and Processing

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In her speech, the Finance Minister announced the formation of a Makhana Board in Bihar aimed to improve the production, processing, value addition, and marketing of makhana. The people engaged in these activities will be organised into Farmer Producer Organizations (FPOs). The Board will provide handholding and training support to makhana farmers and will also work to ensure they receive the benefits of all relevant Government schemes.

Development of Greenfield Airport

Another major announcement was the development of a Greenfield Airport in Bihar, alongside the expansion of Patna’s existing airport. The official budget document stated, "Greenfield airports will be facilitated in Bihar to meet the future needs of the State. These will be in addition to the expansion of the capacity of Patna airport and a brownfield airport at Bihta."

Financial Assistance for Western Koshi Canal ERM Project

The Finance Minister also announced financial assistance for the Western Koshi Canal ERM (Emergency Rehabilitation and Maintenance) project. This initiative will benefit "a large number of farmers cultivating over 50,000 hectares of land in the Mithilanchal region of Bihar." Moreover, the announcement includes the expansion of hostels and other infrastructure capacity at IIT Patna.

Support for Food Processing

In line with the commitment towards ‘Purvodaya’, the government will also establish a National Institute of Food Technology, Entrepreneurship and Management in Bihar. The institute will provide a strong fillip to food processing activities in the entire Eastern region. This will result in
(1) enhanced income for the farmers through value addition to their produce, and
(2) skilling, entrepreneurship, and employment opportunities for the youth.