The Centre has earmarked Rs 25,000 crore under the ‘Pride of Hills’ component of the Special Assistance to States for Capital Investment (SASCI) for 2026–27, allocating Rs 2,400 crore to Manipur to address the distinct developmental and fiscal challenges faced by hill states.
The scheme targets nine hill states grappling with geographical disadvantages such as difficult terrain, inaccessibility, low population density, and limited revenue-generating capacity, factors that have historically constrained infrastructure growth and weakened fiscal indicators.
Among the states, Arunachal Pradesh has received the highest allocation of Rs 4,900 crore, while Mizoram has been allocated Rs 100 crore, the lowest. Other significant allocations include Rs 3,920 crore for Himachal Pradesh, Rs 3,880 crore for Nagaland, Rs 3,460 crore for Uttarakhand, and Rs 3,450 crore for Tripura. Meghalaya is set to receive Rs 2,070 crore, while Sikkim will get Rs 820 crore.
Officials indicated that the ‘Pride of Hills’ component has been designed to supplement existing central allocations by providing additional capital investment support for infrastructure projects in remote and underserved regions. The initiative aims to bridge development gaps by improving connectivity, strengthening public infrastructure, and boosting economic activity in these states.
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The financial assistance is also intended to ease fiscal stress in hill states, many of which face high debt-to-GSDP ratios and relatively low own-tax revenues due to structural constraints. By enhancing capital expenditure, the Centre expects to stimulate long-term growth and improve service delivery in these regions.
Reacting to the announcement, Manipur Chief Minister Yumnam Khemchand Singh expressed gratitude to Prime Minister Narendra Modi and Union Finance Minister Nirmala Sitharaman.
“On behalf of the people of Manipur, I express my sincere gratitude to Hon’ble PM @narendramodi ji and Hon’ble FM @nsitharamanoffc Nirmala Sitharaman ji for introducing the ‘Pride of Hills’ component under SASCI 2026–27. The Rs 2,400 crore allocation for Manipur will greatly ease financial constraints and accelerate inclusive growth. Grateful for this continued support to the North East,” he said in a post on X.
Officials added that the additional outlay would play a crucial role in accelerating development in geographically challenging regions by prioritising infrastructure creation and addressing long-standing constraints that have hindered growth.
The scheme is expected to provide a targeted boost to hill states, aligning with broader efforts to ensure balanced regional development and improve economic outcomes in remote parts of the country.
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