Maharashtra Budget 2025-26: Key facts

March 11, 2025: Maharashtra’s Deputy Chief Minister and Finance Minister Ajit Pawar tabled the Maharashtra Budget for FY 2025-26 on Monday, March 10, 2025. This marks Pawar’s 11th budget as Finance Minister of Maharashtra.

In his budget speech, Ajit Pawar highlighted Maharashtra’s significant role in the Indian economy, stating that the state contributes 15.4% of India’s GDP. He noted that private investments in the state are increasing, contributing to its development. Maharashtra continues to lead the country in Foreign Direct Investment (FDI). Pawar also announced that the state government will invest Rs 15.65 lakh crore in the coming years, which is expected to create 16 lakh jobs. He revealed that a seven-point action plan has been prepared for the first 100 days to implement these investments.

Key Highlights of the Maharashtra Budget 2025-26

• Rs 64,000 crore for infrastructure projects in Mumbai: As part of this, the state plans to develop a 1,500 km road network and upgrade over 7,000 km of existing roads to cemented roads. Additionally, the Samruddhi Mahamarg is 99% complete and is expected to open for public operations by the end of March 2025.
• Mumbai Metro Expansion: The Mumbai Metro will connect the Navi Mumbai International Airport near Ulwe with Chhatrapati Shivaji Maharaj International Airport in Santa Cruz via Mumbai Metro Line 8 (Mumbai Metro Gold Line). The project cost for the Mumbai Metro Gold Line is pegged at Rs 15,000 crore. This will be a 35 km fully elevated line that will be the first mass rapid transit system connecting the two cities. Planned to have 6 stops in between and eight in total, travel time in this metro will be 30 minutes as opposed to the more than two hours taken by road.

Metro route expansion in Mumbai, Nagpur and Pune: Over 143.57 km of metro routes are presently operational in Mumbai, Nagpur and Pune thereby benefiting around 10 lakh daily commuters. Presently, Mumbai Metro has Mumbai Metro Line 1, Mumbai Metro Line 2A, Mumbai Metro 3 (phase 1), Mumbai Metro 7 and Navi Mumbai Metro Line 1 operational. Mumbai Metro 3 (Phase 2) is expected to start operations by April 10, 2025.

With respect to Pune, the city has two operational metro networks- Pune Metro Line 1 known as Purple Line and Pune Metro Line 2 known as Aqua Line.

The Nagpur Metro has the Nagpur Metro Orange line which is the North south corridor and the Nagpur Metro Aqua Line which is the East West corridor.

The state plans to launch 41.2 km of metro routes in Mumbai and 23.2 km in Pune totaling 64.4 km in 2026. A total of around 237.5 km of metro routes will be made operational in the next five years. With respect to Nagpur Metro, construction work of Phase-2 spanning 43.80 km is in progress at a cost of Rs 6,708 crore.

• Vadhvan Port Development: Maharashtra will contribute 26% of the project cost to build the deep-sea Vadhvan Port near Palghar District. Operations are expected to start by 2030. A third airport for Mumbai, after Navi Mumbai International Airport and Chhatrapati Shivaji Maharaj International Airport, will be constructed near Vadhvan Port.
• Business Centres in Mumbai: Seven business centres are planned in Mumbai. The Mumbai Metropolitan Region Development Authority (MMRDA) will become the growth hub of Maharashtra, with these centres planned at various locations in the MM region.
• Shirdi Airport: The Shirdi Airport in Maharashtra will soon be equipped with night-landing facilities.
• Maharashtra Marine Development Policy-2023: Under this policy, several exemptions will be introduced to boost port development, passenger shipping, and coastal tourism. Exemptions include property tax, non-agricultural tax, electricity duty, and stamp duty for port-related projects. Additionally, port agreements will be extended to a maximum of 90 years to ensure long-term investment stability.
• Ladki Bahin Scheme: Financial aid under the Ladki Bahin Scheme will increase from Rs 1,500 to Rs 2,100. However, the scheme will not be implemented immediately. The scheme was launched by the Mahayuti government on July 6, 2024.
• Irrigation Projects in Tapi River Valley: Maharashtra will allocate over Rs 19,300 crore for irrigation projects in the Tapi River Valley. Plans are also in place to divert water from drought-prone regions in Konkan and Marathwada.

What is the industry reaction on Maharashtra Budget 2025-26?

Gulam Zia, senior executive director, research, advisory, infrastructure and valuation, Knight Frank India

The Maharashtra State Budget 2025 lays a strong foundation for the state’s real estate and infrastructure ecosystem, creating an enabling environment for long-term urban expansion and economic resilience. The substantial Rs 64,000 crore investment in Mumbai’s infrastructure, including road, metro, and transport network enhancements, will not only decongest key corridors but also open up new growth nodes for residential and commercial development.

The expansion of metro networks, with 41.2 km in Mumbai and 23.2 km in Pune and Nagpur, will significantly improve intra-city mobility, strengthening demand in emerging real estate corridors and making transit-oriented development more viable.

Beyond connectivity, the budget’s focus on sustainable urban growth is evident in the Rs 8,200 crore allocated for urban wastewater recycling and the Rs 19,300 crore for irrigation projects, reinforcing water security for expanding urban clusters.

The Rs 1,500 crore set aside for the Dharavi redevelopment project further underscores the government’s commitment to inclusive housing and slum rehabilitation, critical for Mumbai’s urban landscape.

Additionally, the push to upgrade 7,000 km of roads to cement roads, coupled with large-scale industrial and logistics infrastructure expansion, will facilitate smoother business operations, attracting corporate occupiers and fueling commercial real estate growth. The alignment of infrastructure investments with real estate market dynamics will be crucial in shaping Maharashtra’s urban future.

By strengthening connectivity, promoting sustainability, and enabling large-scale housing and commercial developments, the 2025 budget fosters a well-integrated ecosystem that will enhance property values, attract investment, and support Maharashtra’s position as a premier economic and real estate hub.