41% Central Tax Devolution Ensures Stability for Arunachal Pradesh: DyCM

• Arunachal Pradesh DyCM Chowna Mein stated that the Union Budget maintains 41% vertical devolution of central taxes to states, as recommended by the 15th and 16th Finance Commissions.
• This continued devolution strengthens fiscal federalism and provides states with assured resources for development programs.
• Arunachal Pradesh was allocated Rs 24,992.35 crore (BE 2025–26) and Rs 24,474.51 crore (RE 2025–26) with a horizontal share of 1.757 percent under the 15th Finance Commission.
• For BE 2026–27, the state is allocated Rs 20,665.48 crore with a revised horizontal share of 1.354 percent under the 16th Finance Commission.
• Mein highlighted that the 15th Finance Commission recognized Arunachal Pradesh's unique circumstances like vast geography, difficult terrain, sparse population, strategic borders, and high infrastructure costs.

Why It Matters: The 41% central tax devolution ensures fiscal stability and predictable resources for Arunachal Pradesh's development.