Gender Budgeting in 2025-26: A Step Toward Inclusive Growth

The Union Budget 2025-26, presented by Finance Minister Nirmala Sitharaman on February 1, 2025, has made significant strides in gender budgeting, increasing the share of the Gender Budget allocation to 8.86% of the total Union Budget, compared to 6.8% in FY 2024-25. The allocation for women and girls has risen to ₹4.49 lakh crore, marking a 37.25% increase from the previous year’s ₹3.27 lakh crore. Additionally, 49 Ministries/Departments and 5 UTs have reported gender-specific allocations, making it the highest number of contributors to the Gender Budget Statement (GBS) since its inception.

Key Highlights of Gender Budget 2025-26

• Total Gender Budget Allocation: ₹4.49 lakh crore (up 37.25% from ₹3.27 lakh crore in FY 2024-25).
• Share of Gender Budget in Union Budget: Increased to 8.86% (from 6.8% in FY 2024-25).
• Number of Reporting Ministries/Departments: Increased to 49 (from 38 in FY 2024-25).
• Number of Reporting UTs: 5 UTs have contributed to GBS allocations.

New Ministries/Departments Reporting for First Time in GBS

• Department of Animal Husbandry & Dairying
• Department of Biotechnology
• Department of Food & Public Distribution
• Department of Financial Services
• Department of Fisheries
• Department of Land Resources
• Department of Pharmaceuticals
• Department of Water Resources, RD & GR
• Ministry of Food Processing Industries
• Ministry of Panchayati Raj
• Ministry of Ports, Shipping & Waterways
• Ministry of Railways

Breakdown of Gender Budget Allocations

• Part A (100% women-specific schemes): ₹1,05,535.40 crore (23.50% of total GBS).
• Part B (30-99% allocation for women): ₹3,26,672.00 crore (72.75% of total GBS).
• Part C (Below 30% allocation for women): ₹16,821.28 crore (3.75% of total GBS).

Trends in GBS

• Since its introduction in FY 2005-06, the Gender Budget Statement has consistently grown, with a steady increase in the proportion of total expenditure dedicated to women and girls.
• The GBS as a percentage of total expenditure was 5% in FY 2019-20, and it has now reached 9% in FY 2025-26.

Challenges in Allocation Reporting

• Despite the increase in the total allocation, Part A (100% women-specific schemes) has seen stagnation over the years.
• This suggests that while more schemes are being gender-sensitive, the absolute allocation for women-centric schemes might not be increasing as much.
• The Jal Jeevan Mission (JJM), which has historically targeted women by reducing the time spent fetching water, shows a decline in the allocation for women from 49% to 31%. This raises concerns about the long-term commitment towards women-focused implementations.

Implementation Gaps

• Some schemes, like the Pradhan Mantri Awaas Yojana–Grameen (PMAY-G), while reflecting women’s ownership in their reporting (Part A), show low implementation (only 23% of houses allotted to women). This suggests discrepancies between the budget allocation and actual ground-level impact.
• Mission Saksham Anganwadi and Poshan 2.0, focusing on women’s health and nutrition, has reported both Part A and Part B allocations, which raises concerns about how these allocations are structured.

Areas for Improvement

• The reporting mechanisms for the Gender Budget need greater clarity. Ambiguity in the methodologies and the rationale behind allocations can hinder accountability.
• The addition of Part C offers a more comprehensive approach, but the government should focus on refining the reporting of allocations to ensure they reflect actual gender-specific goals.
• In addition to reporting allocations, there is a need for gender-oriented audits across ministries to ensure that the allocations lead to tangible outcomes for women.
• Regular audits will help move beyond just accounting exercises and focus on empowering women through better implementation of schemes.

Top 10 Ministries/Departments with Highest Gender Budget Allocations