The Indian government’s ambitious Sagarmala Programme, aimed at transforming the coastline into an economic hub, faces significant setbacks in the Union Budget for 2026-27. The Finance Ministry has reduced the programme’s funding by nearly 29%, cutting the allocation from Rs 866 crore in the previous budget to Rs 616.88 crore for the upcoming fiscal year. This reduction comes despite the programme’s goal of mobilizing over Rs 5 lakh crore in infrastructure investment and increasing the share of inland and coastal waterways in cargo movement.
Budget documents reveal a troubling trend for Sagarmala, which has seen its funding decline consistently. After peaking at Rs 866 crore, the allocation was revised down to Rs 699 crore mid-year, and the latest budget leaves it with even less than the Rs 658.29 crore spent in the previous fiscal year. In contrast, other maritime initiatives, such as the newly announced Maritime Development Fund, received substantial financial backing, highlighting a disparity in funding priorities.
The Sagarmala Programme encompasses various projects, including the development of coastal communities and infrastructure for cargo and passenger movement. However, the reduced budget is likely to delay projects and hinder coastal infrastructure development, particularly as private investment has not materialized as expected. While revenue expenditure has decreased, capital expenditure has seen a slight increase, suggesting ongoing commitments but significant constraints on new project approvals.
Related posts:
Indian Government’s Budget Plan for Maritime Development and Green Ship Scheme
India’s Maritime Industry Strengthens with Financial Assistance and Development Fund
India’s Biggest Container Port: Vadhavan Deep Water Port Development Approved
Exploring Mumbai’s Maritime Legacy Through its Historic Gateways to the Sea
