Transfers to States

50-year interest-free capital loans to states, Finance Commission grants, and disaster relief — on top of their tax share.

What the money actually buys

Not the states' constitutional share of central taxes — that is deducted before the union spends anything and does not appear in this budget at all. This is what the union grants on top, and half of it is a conditional loan: ₹1,49,484 crore of 50-year interest-free lending that a state only draws by qualifying for it.

How it breaks down

The parts a published document names, in 2025–26. They sum to the total above exactly. That is the rule the whole dataset is built on, and a total and its parts almost always come from different documents, so their agreement is corroboration rather than arithmetic performed on itself.

• Special Assistance as Loan to States for Capital Investment Fifty-year interest-free loans to states for capital investment. ₹1.50 lakh cr
• Grants for local bodies Fifteenth Finance Commission grants to rural and urban local bodies — panchayats and municipalities — passed on by the states. ₹80,000 cr
• Grants for the health sector Fifteenth Finance Commission grants for the health sector, allocated under the Commission's health formula. ₹25,000 cr
• Externally aided projects — back-to-back loans External assistance passed to states as a loan, on the same terms the union received it from the donor — the loan component of Externally Aided Projects. ₹25,000 cr
• State Disaster Response Fund Fifteenth Finance Commission grants to the State Disaster Response Fund, for financing disaster relief. ₹24,000 cr
• Post-devolution revenue deficit grants Fifteenth Finance Commission grants closing the gap between a state's assessed revenue needs and its own resources after devolution — paid only to states still found in deficit. ₹14,000 cr
• Externally aided projects — grants External assistance passed to states as a grant — the grant component of Externally Aided Projects, on the same back-to-back terms as the loan component. ₹13,000 cr
• Special assistance Discretionary assistance for committed liabilities without their own budget provision, and other need-based support to states. ₹10,000 cr
• State Disaster Mitigation Fund Fifteenth Finance Commission grants to the State Disaster Mitigation Fund, for disaster prevention and preparedness. ₹9,000 cr
• Assistance to states from the National Disaster Response and Mitigation Funds Released to a state after a notified disaster, against assessed need — assistance from the National Disaster Response and Mitigation Funds. ₹5,000 cr
• Assistance to States for Public Health Infrastructure Grants to states for public health infrastructure, met in full from a cess fund rather than from general revenue. ₹699 cr
• Grants for shared Municipal Services A Finance Commission grant under Article 275(1) of the Constitution, for municipal services shared between local bodies. ₹225 cr
• Support for COVID-19 Vaccination A token provision of one lakh rupees: the head carries the same amount in the 2025-26 budget estimate, the 2025-26 revised estimate and the 2026-27 budget estimate, and nothing in the 2024-25 actuals. ₹0 cr

Every year on record

Where this sits in the budget

• Counted under Grants to states and union territories, what the money paid for.
• Spent by Ministry of Finance, who spent it.

Where these figures come from

• 2025–26 · Statement 3, Demand No. 42, Revised Estimates 2025-26, Total column
  Expenditure Profile 2026-27: Statement 3 - Expenditure of Ministries and Departments Ministry of Finance, Government of India
  SHA-256 3810c160a4b1f897…
• 2024–25 · Statement 3, Demand No. 42, Actuals 2024-25, Total column
  Expenditure Profile 2026-27: Statement 3 - Expenditure of Ministries and Departments Ministry of Finance, Government of India
  SHA-256 3810c160a4b1f897…
• 2023–24 · Statement 3, Demand No. 42, Actuals 2023-24, Total column
  Expenditure Profile 2025-26: Statement 3 - Expenditure of Ministries and Departments Ministry of Finance, Government of India
  SHA-256 b59057f574f3d09a…
• 2022–23 · Statement 3, Demand No. 42, Actuals 2022-23, Total column
  Expenditure Profile 2024-25: Statement 3 - Expenditure of Ministries and Departments Ministry of Finance, Government of India
  SHA-256 3d9f2fe71485a749…
• 2021–22 · Statement 3, Demand No. 42, Actuals 2021-22, Total column
  Expenditure Profile 2023-24: Statement 3 - Expenditure of Ministries and Departments Ministry of Finance, Government of India
  SHA-256 019cebf6e969c112…
• 2020–21 · Statement 3, Demand No. 42, Actuals 2020-21, Total column
  Expenditure Profile 2022-23: Statement 3 - Expenditure of Ministries and Departments Ministry of Finance, Government of India
  SHA-256 d4d879fe59907cce…

A document's title is its publication year, which is usually not the year of the figures inside it: an Expenditure Profile reports actuals for the year that ended two years earlier. The year printed beside each citation is the year the money was spent.

Your share of it

Put in what you paid in income tax and the same proportion of your own money is applied to this line.