Home India FINANCE Parliament Question: Scheme for Special Assistance to States...
Date: 2026-02-02 Category: Not Applicable State: Union Government Country: India

Parliament Question: Scheme for Special Assistance to States for Capital Expenditure

Issued by FINANCE · Not Applicable

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Executive Summary & Key Takeaways

**Executive Summary** This document presents the response to Lok Sabha Unstarred Question No. 445 regarding the Scheme for Special Assistance to States for Capital Expenditure (SASCI), to be answered on February 2, 2026. It details the objectives, components, allocations, and fund utilization under SASCI from 2023-24 to 2025-26. The deadline for State Governments/UT Administrations to utilize the funds is March 31, 2026. **Key Points / Main Content** * **Objective of SASCI:** To assist States/UT Administrations in boosting capital expenditure and to promote reforms in key areas. * **Financial Allocations:** * Total allocation under SASCI: Rs 1,30,000 crores in 2023-24, Rs 1,50,000 crores in 2024-25, and Rs 1,50,000 crores in 2025-26. * State/UT-wise release details provided in Annexure II. * Odisha's allocation to Nabarangpur Lok Sabha Parliamentary Constituency under SASCI: Rs. 125.81 crores (2023-24), Rs. 175.69 crores (2024-25), and Rs. 179.14 crores (2025-26). * Funds can be utilized until March 31, 2026. * **Incentives and Reforms:** * Parts V to X of SASCI 2025-26 provide incentives to States/UTs for reforms in sectors such as Mining, Road Safety, Land Reforms, Financial Management, and Urban Planning. * Funds are released upon completion of prescribed reforms. * Part IV encourages States/UTs to increase capital expenditure using their own resources; funds are released based on growth in Capital Expenditure. * States are free to encourage private investment in capital projects. * **Components of SASCI** * SASCI 2025-26: Untied funds, balance amounts, States/UTs share of Centrally Sponsored Schemes, incentives for capital expenditure targets, reforms in Mining, Scrapping of Old Vehicles, Road Safety, Modernization and Digitization of Rural Land, Digital Public Infrastructure for Agriculture, Land Reforms in Urban Areas, Financial Management, Urban Planning, and Ease of Doing Business. * SASCI 2024-25: Untied funds, balance amounts, Development of Iconic Tourism Centres to Global Scale, Industrial Growth, National Capital Region, Rural Land Records, Farmer Registry, Urban Land Records, State's Share of CSS, Working Women Hostel, SNA SPARSH, Growth in CAPEX, Urban reforms. * SASCI 2023-24: Untied funds, Scrapping of Old Vehicles, Urban Planning Reforms, Financing Reforms in Urban Local Bodies, Housing for Police Personnel, Construction of Unity Malls, Children and Adolescent Libraries and Digital Infrastructure, Incentive for Just in Time release of CSS funds * **Impact Assessment:** No impact assessment of the scheme has been carried out so far. **Impact Analysis** **State Governments/UT Administrations** * **Impact:** Benefit from financial assistance to boost capital expenditure, promote reforms, and undertake capital projects in their respective parliamentary constituencies. * **Action Required:** Utilize allocated funds before March 31, 2026; complete prescribed reforms to unlock incentives; select and execute capital projects. **Nabarangpur Lok Sabha Parliamentary Constituency, Odisha** * **Impact:** Targeted investment in capital projects via State Government of Odisha's allocation under SASCI. * **Action Required:** Monitor project implementation and utilization of funds. **Ministry of Finance** * **Impact:** Responsible for administering and monitoring the SASCI scheme and providing financial assistance to the States and UTs. * **Action Required:** The Ministry is not explicitly required to take any action.

Key Entities Referenced

Scheme for Special Assistance to States for Capital Expenditure (SASCI): A scheme by the Indian government to provide financial assistance to states for capital expenditure and to incentivize reforms. Ministry of Finance: The Indian government ministry responsible for the SASCI scheme. Madhya Pradesh: One of the states mentioned in particular to have special attention in terms of funding allocation. Jammu and Kashmir: One of the states mentioned in particular to have special attention in terms of funding allocation. Odisha: One of the states mentioned in particular to have special attention in terms of funding allocation.
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GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF EXPENDITURE LOK SABHA UNSTARRED QUESTION No. 445 TO BE ANSWERED ON MONDAY, FEBRUARY 02, 2026/MAGHA 13, 1947 (Saka) Scheme for Special Assistance to States for Capital Expenditure 445. Shri Lumbaram Choudhary: Shri Jagdambika Pal: Shri Lavu Sri Krishna Devarayalu: Shri Dineshbhai Makwana: Dr. Hemant Vishnu Savara: Shri Balabhadra Majhi: Shri Dilip Saikia: Shri Tejasvi Surya: Shri Bibhu Prasad Tarai: Shri Pradeep Kumar Singh: Shri Bidyut Baran Mahato: Shri Manish Jaiswal: Shri Suresh Kumar Kashyap: Shri Alok Sharma: Shri Jugal Kishore: Shri Bhartruhari Mahtab: Shri Khagen Murmu: Will the Minister of FINANCE be pleased to state: a) The details of the objectives, key components and total allocation made under the Special Assistance to States for Capital Expenditure Scheme during the last three financial years including 2025-26, State-wise, particularly Madhya Pradesh, Jammu and Kashmir, Maharashtra, Odisha especially Nabarangpur Lok Sabha Parliamentary Constituency; b) The amount of funds released to various States and Union Territories across the country and the utilisation of these funds for capital projects, sector-wise and State-wise, particularly Madhya Pradesh, Jammu and Kashmir, Maharashtra, Odisha and including those undertaken in Nabarangpur Lok Sabha Constituency; c) The manner in which the said Scheme incentivised States including Jammu and Kashmir, Odisha to implement reforms, increase capital expenditure and encourage private investment; andd) Whether the Government has conducted any impact assessment of the said Scheme and whether such assessment includes analysis for Odisha and the Nabarangpur Lok Sabha Parliamentary Constituency, if so, the details thereof? ANSWER THE MINISTER OF STATE FOR FINANCE (SHRI PANKAJ CHAUDHARY) (a) & (b): The objective of the scheme for Special Assistance to States for Capital Investment (SASCI) is to assist the States/UT Administrations in boosting capital expenditure and to promote reforms in key areas. Key components of the scheme during 2023-24, 2024-25, and 2025-26 are enclosed as Annexure I. Total allocation of Rs 1,30,000 crores, Rs, 1,50,000 crores, and Rs. 1,50,000 crores has been made under SASCI in 2023-24, 2024-25, and 2025-26 respectively. State/UT wise amount released during 2023-24, 2024-25, and 2025-26 is enclosed as Annexure II. The State Governments have been given full freedom to select capital projects to be taken up in their respective parliamentary constituencies. As per information provided by State Government of Odisha, the State Government has allocated an amount of Rs. 125.81 crores, Rs. 175.69 crores, and Rs. 179.14 crores to Nabarangpur Lok Sabha Parliamentary Constituency under SASCI in 2023-24, 2024-25, and 2025-26 respectively. The State Governments/UT Administrations have been provided time till 31st March, 2026 to utilize these funds. (c) Under parts V to X of SASCI 2025-26, incentive is provided to States/ Union Territories (UTs) for carrying out reforms in various sectors such as Mining, Road Safety, Land reforms, Financial Management, and Urban planning. Funds under these parts are released based on completion of prescribed reforms by the States Governments/UT Administrations as per scheme guidelines, thereby encouraging the State Governments/ UT Administrations to undertake reforms. Under Part IV of the scheme, funds are released based on growth in Capital Expenditure achieved by the State/UT using its own resources, thereby encouraging States/UTs to increase capital expenditure. The States are free to encourage private investment in capital projects in addition to assistance received under SASCI. (d) No impact assessment of the scheme has been carried out so far. ***Annexure referred to in reply of part (a) & (b) of Lok Sabha Unstarred Question No. 445 to be answered in Lok Sabha on February 02, 2026. Annexure I Key components of Special Assistance to States for Capital Investment (SASCI) SASCI 2025-26  Part-I: Untied  Part II – Release of Balance Approved Amounts under continued parts of the scheme for 2023-24 and 2024-25  Part III: States/UTs share of Centrally Sponsored Schemes  Part IV: Incentive for achieving Target fixed for Capital Expenditure for 2025-26  Part V: Mining Sector reforms  Part VI-A: Scrapping of Old Vehicles  Part VI-B: Implementation of Electronic Enforcement of Road Safety  Part VII-A: Modernization and Digitization of Rural Land  Part VII-B: Digital Public Infrastructure for Agriculture  Part VIII: Incentive for Land Related Reforms in Urban Areas  Part IX: Incentive for Efficiency in Financial Management  Part X-A: Urban Planning Reforms  Part X-B: Compliance reduction and deregulation of Ease of Doing Business SASCI 2024-25  Part I: Untied  Part II: Release of Balance Approved Amounts under Part V, Part VI, and Part VII of the scheme for 2023-24  Part III: Development of Iconic Tourism Centres to Global Scale  Part-IV: Scrapping of Old Vehicles  Part-V: Industrial Growth  Part-VI: Development of National Capital Region  Part-VII-A: Rural Land Records  Part-VII-B: Farmer Registry  Part-VIII: Urban Land Records  Part-IX: State's Share of CSS  Part-X: Working Women Hostel  Part-XI: SNA SPARSH  Part-XII: Growth in CAPEX  Part-XIII: Urban reformsSASCI 2023-24 i. Part-I: Untied ii. Part II: Scrapping of Old Vehicle iii. Part-III: Urban Planning Reforms iv. Part-IV: Financing Reforms in Urban Local Bodies v. Part V: Housing for Police Personnel vi. Part VI: Construction of Unity Malls vii. Part VII: Children and Adolescent Libraries and Digital Infrastructure viii. Part VIII: Incentive for Just in Time release of CSS fundsAnnexure referred to in reply of part (a) & (b) of Lok Sabha Unstarred Question No. 445 to be answered in Lok Sabha on February 02, 2026. Annexure II State/UT wise amount released in FY 2023-24, 2024-25 and 2025-26 2023-24 2024-25 2025-26 Amount Released Sl. No. States/UTs Amount Released Amount Released (up to 27.01.2026) 1 Andhra Pradesh 4,090.81 7,901.56 6,372.40 2 Arunachal Pradesh 2,363.42 2,470.96 651.78 3 Assam 5,804.43 7,427.50 6,816.24 4 Bihar 8,814.80 14,791.32 6,289.40 5 Chhattisgarh 3,365.25 6,103.57 6,339.57 6 Goa 695.2 1,266.54 1,279.09 7 Gujarat 4,254.32 5,958.26 4,209.90 8 Haryana 1,702.05 1,458.56 542.83 9 Himachal Pradesh 1,515.97 2,381.37 2,427.70 10 Jharkhand 4,580.61 2,718.32 780.79 11 Karnataka 3,879.24 5,296.12 2,613.32 12 Kerala - 2,715.67 1,506.62 13 Madhya Pradesh 12,636.21 12,424.92 11,547.94 14 Maharashtra 5,376.31 8,063.08 4,922.80 15 Manipur 542.7 1,436.82 379.75 16 Meghalaya 1,293.06 2,369.63 1,329.85 17 Mizoram 743.28 1,361.09 341.48 18 Nagaland 973.2 1,599.73 932.81 19 Odisha 3,532.14 6,943.55 2,977.60 20 Punjab - 2,269.31 2,569.11 21 Rajasthan 8,513.42 9,139.21 7,006.17 22 Sikkim 797.85 1,742.14 704.71 23 Tamil Nadu 5,326.42 7,345.86 5,684.65 24 Telangana 1,948.34 2,727.24 1,753.43 25 Tripura 662.92 1,586.68 1,291.05 26 Uttar Pradesh 19,215.08 17,223.82 12,466.83 27 Uttarakhand 1,911.71 2,455.84 1,806.50 28 West Bengal 5,015.58 10,305.06 5,465.90 29 Delhi - - 542.03 30 Jammu & Kashmir - - 1,641.53 31 Puducherry - - 180.89 Total 1,09,554.30 1,49,483.73 1,03,374.63

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