Tamil Nadu Budget 2025: On March 14, 2025, Tamil Nadu’s Finance Minister Thangam Thennarasu presented the fiscal year 2025-2026 budget. The finance minister introduced several important initiatives and allocations in this budget, including infrastructure development, social welfare programs, education and skill development, health, and tourism.
Tamil Nadu Budget 2025: At a Glance
We have discussed the important takeaways from this budget below:
- The Tamil Nadu state’s revenue receipts are at 3,31,569 crore, with 75.3% state’s revenue and the other 24.7% being from central taxes and grants-in-aid from the union government.
- A 2000-acre satellite city named “Global City” is planned near Chennai with schools, hospitals and metro stations to decongest the city.
- The Chennai metro is set to be extended from the airport to Kilambakkam at a cost of ₹9,335 crore, and from Koyambedu to Avadi and Pattabiram with an estimated expenditure of ₹9,744 crore.
- A subsidy of 20,000 will be provided to 2000 registered gig workers to help them purchase electric scooters. An insurance scheme will be provided for 150,000 gig workers, covering disability and accidental death.
- An allocation of ₹3,500 crores for a housing scheme for marginalised communities.
- The school education department has been allocated ₹46,767 crores. The Chief Minister’s Breakfast Scheme will now be extended to government-aided schools.
- The government will introduce 1125 new electric buses for Chennai and other major cities in Tamil Nadu.
- The Anna Cancer Hospital in Kancheepuram is set to upgrade to an 800-bed facility to tackle the high cancer prevalence in Tamil Nadu. HPV vaccine will be provided to 14-year-old girls to prevent cervical cancer.
- An allocation of ₹300 crore from the budget has been made to improve tourist facilities in prime locations such as Mamallapuram and Tiruvannamalai.
Tamil Nadu Budget 2025: Here’s How One Rupee is Spent
Breakdown of Expenditure:
- Subsidies and Grants: 31.6%
- Salaries: 18.6%
- Interest Payments: 14.5%
- Capital Expenditure: 11.8%
- Repayment of Debt: 9.7%
- Pension & Retirement Benefits: 8.5%
- Operation & Maintenance: 3.5%
- Loan Disbursals: 1.8%
Tamil Nadu Budget 2025 Controversy
The replacement of the official Indian Rupee symbol (₹) with the Tamil letter “Ru” (ரு) has sparked controversy in the 2025-2026 budget. Tamil Nadu became the first state to use the regional rupee symbol.
Nirmala Sitharaman slams the DMK government by saying that the DMK undermining the rupee symbol weakens national unity and promotes a secessionist mindset.
Some Tamil nationalist groups supported this change, viewing it as a step towards promoting Tamil identity and language. However, some critics and opposition parties have argued that the symbol could cause confusion in official and financial documents.
Conclusion
The DMK government’s budget shows a strong focus on social welfare and subsidies. A high share of revenue goes toward interest payments (14.5%) and debt repayments (9.7%), which together consume nearly a quarter of the state’s budget. Although there were challenges, the budget also aimed for the long-term growth of the state by allocating funds for metro rail stations, introducing electric buses, and improving school infrastructure.
Tamil Nadu Budget 2025 PDF Download
Download Link: Tamil Nadu Budget 2025 PDF
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