India's Gender Budget 2026 Hits Record ₹5.08 Lakh Crore

Introduction: Record Allocation for Nari Shakti

In the Union Budget for 2026-27, Finance Minister Nirmala Sitharaman announced a record allocation of ₹5.08 lakh crore for the Gender Budget, marking the highest-ever outlay aimed at women-led development. This figure represents a significant increase from the ₹4.49 lakh crore allocated in the previous fiscal year, underscoring the government's continued focus on 'Nari Shakti' as a core pillar of its economic strategy. The allocation continues an upward trend in absolute terms, signaling a policy emphasis on schemes and programs intended to benefit women and girls across the country.

A Closer Look at the Numbers

The Gender Budget has seen consistent growth over the past five years. The allocation for FY 2026-27 surpasses not only the previous year's budget estimate of ₹4.49 lakh crore but also the revised estimate of ₹3.9 lakh crore for FY 2025-26. This sustained increase highlights a clear financial commitment to gender-centric initiatives. While the allocation for FY 2025-26 constituted 8.86% of the total Union Budget, the latest figures continue this trajectory of prioritizing women's welfare and empowerment within the national financial framework.

Deconstructing the Budget: Part A, B, and C

India's Gender Budget is structured into three distinct categories. Part A includes schemes with 100% allocation for women and girls. Part B covers programs where at least 30% of the allocation is for women. Part C, a more recent addition, includes schemes with less than 30% allocation for women. A critical analysis of recent trends reveals a shift in the composition of the budget. In FY 2025-26, only 23.5% of the total gender budget was allocated to Part A schemes, a notable decrease from 39.4% in FY 2023-24. This indicates a growing reliance on large, mixed-beneficiary schemes under Part B, where tracking direct outcomes for women can be more challenging.

Key Allocations and Scheme Focus

The budget for 2026-27 directs substantial funds towards broad-based rural and infrastructure schemes that have a significant impact on women. The newly announced rural employment scheme, which replaces MGNREGS, has been allocated ₹44,506 crore. The Jal Jeevan Mission received ₹33,022 crore, a significant increase from its previous budget estimate, aiming to provide household tap water connections that primarily benefit rural women. Meanwhile, the PM Kisan Yojana, which provides financial assistance to farmers, maintained its allocation at ₹15,240 crore. While these schemes are crucial, their placement largely within Part B and C of the gender budget underscores the trend of embedding women's welfare within larger development programs rather than through exclusively targeted initiatives.

Challenges in Implementation and Fund Utilisation

Despite increasing allocations, concerns persist regarding the effective utilisation of funds. The Ministry of Women and Child Development (MWCD), a key implementing body, has historically shown a gap between budgeted estimates and actual expenditure. Reports indicate that between 2021-22 and 2024-25, spending under flagship programs like Mission Shakti and Mission Vatsalya was significantly lower than budgeted. Furthermore, within Mission Shakti, the 'Sambal' sub-scheme, which focuses on the safety and security of women, has seen stagnant funding. This raises questions about the prioritisation of critical areas like combating gender-based violence, even as the overall budget grows.

The Need for Strategic Convergence

A significant challenge lies in the fragmented implementation of skilling and empowerment programs. Both the MWCD and the Ministry of Skill Development and Entrepreneurship (MSDE) run parallel training initiatives, often making it difficult for beneficiaries to navigate and access them. Experts have called for an integrated approach, possibly through a 'Convergence Fund', to ensure that skilling programs are aligned with market demands and lead to tangible employment outcomes for women. Data shows that despite various schemes, women's representation among beneficiaries of skilling programs remains low, highlighting a gap that requires a more coordinated inter-ministerial strategy.

Critical Analysis: Gaps in the Framework

While the headline number is impressive, the Gender Budget 2026-27 is not without its critics. A major point of concern is the absence of a dedicated, large-scale program to combat gender-based violence, with the government continuing to rely on the chronically under-spent Nirbhaya Fund. Another significant omission is the exclusion of the transgender community from the Gender Budget Statement. This exclusion is seen as a major gap in inclusivity, as the framework fails to address the specific needs of this marginalized group. The budget's heavy reliance on a few large schemes to boost its total outlay also draws criticism for potentially masking underfunding in other critical, women-exclusive areas.

Economic Imperative and Future Outlook

The government has positioned the Gender Budget as a strategic investment towards its goal of a 'Viksit Bharat' (Developed India) by 2047. Empowering women economically is crucial to boosting the national GDP and improving human development indicators. The recent 5% increase in the rural women’s labour force participation rate is a positive sign, but sustained effort is required. The success of the ₹5.08 lakh crore allocation will ultimately depend not just on the funds being spent, but on how effectively they are used to address structural barriers, ensure last-mile delivery, and translate financial outlays into measurable improvements in the lives of women across India.