Nagaland Chief Minister Dr Neiphiu Rio presented the state budget for the financial year 2025-26 on March 6, during the 6th session of the 14th Nagaland Legislative Assembly (NLA), terming it a “Budget of New Initiatives.”
Highlighting skilling and employment-led growth, sustainability, and private sector partnerships as key drivers of economic transformation, the Chief Minister introduced several new programs aimed at addressing unemployment, boosting tourism, expanding financial access, and promoting sustainable energy solutions in Nagaland.
Skill Mission to train 5,000 youth
A special initiative under the Nagaland Skill Mission will be launched to train and provide employment opportunities for at least 5,000 youth in sectors including hospitality, tourism, banking, insurance, construction, healthcare, logistics, and drone technology. The program aims to bridge the gap between education and employability, with Skill Loans backed by a Government Guarantee to support financial independence.
A dedicated Project Monitoring Unit (PMU) under IDAN will oversee the execution of the mission, with Rs. 5 crore allocated for implementation.
Tourism, Hospitality, and Transport Scheme
Complementing the Skill Mission, the Government is introducing the Nagaland Tourism, Hospitality, and Transport Scheme to promote tourism-driven employment. Under this scheme, 500 homestays and 200 tourist transport vehicles will be set up through concessional loans to entrepreneurs. This initiative will be integrated with existing government programs such as CMMFI, Nagaland Skill Mission, and TourismConnect.
Drone training & logistics program
A new Drone Training and Logistics Program will be launched, with Rs. 2.50 crore earmarked to train youth in drone operations through public-private partnerships. The initiative is expected to create employment opportunities in the emerging drone industry.
Capacity building & fellowship program
To strengthen governance and public service delivery, the government has allocated Rs. 2 crore for capacity building and competency enhancement programs for local bodies and public servants. Additionally, a new initiative, the Chief Minister’s Fellowship Programme, will be launched with Rs. 2.50 crore to nurture future leaders and policy innovators by developing a skilled workforce with a deep understanding of Nagaland’s development priorities.
‘Living Morung Initiative’ for cultural preservation
Emphasizing the importance of preserving Nagaland’s cultural heritage, the government will implement the Living Morung Initiative with an allocation of Rs 5 crore under the Department of Art & Culture. The initiative will focus on revitalizing traditional knowledge systems while integrating them with modern development and sustainable livelihoods.
Nagaland Solar Power Mission
In a push for sustainable energy solutions, the Nagaland Solar Power Mission will be launched with an outlay of Rs 10 crore. Under this program, the state will provide a subsidy of Rs. 20,000 per kW (up to Rs. 50,000 per consumer) for rooftop solar installations as part of the PM Surya Ghar Muft Bijli Yojana. The initiative aims to reduce the state’s power deficit while promoting clean energy.
Dr Rio stated that the Solar Power Mission will be implemented under the Department of Power. He emphasized the need for improvement in the sector, citing a revenue loss of Rs. 300 crore. With the rising demand for electricity, he stressed the importance of utilizing solar, hydro, and other energy sources. He also mentioned that prepaid electricity meters will be provided by private companies, but revenue collection will remain under the government’s purview.
The Chief Minister appealed for public cooperation in addressing issues like power transmission losses, electricity theft, and non-payment of bills. He urged consumers to recognize the need to pay for the electricity they consume. While the prepaid meter system may not be extended to villages immediately, it will be mandatory in all urban areas.
Banking access in 20 unbanked blocks
To improve financial inclusion, the government will facilitate the opening of bank branches in 20 unbanked development blocks by providing necessary support such as approach roads and pucca buildings for banking infrastructure. To encourage stability, all possible government transactions in these blocks will be routed through the newly opened banks.
Increased developmental outlay
The total developmental outlay, including Centrally Sponsored Schemes (CSS), is Rs. 5,819.24 crore. The State’s own developmental outlay has increased to Rs. 1,200 crore, marking a growth of 18.81% (Rs. 190 crore more) compared to FY 2024-25.