National, March 30: A new financial assistance component titled “Pride of Hills” has been introduced under the Special Assistance for Capital Investment (SASCI) framework, with a total allocation of ₹25,000 crore aimed at strengthening nine Himalayan states.
The initiative is designed to address long-standing structural constraints in hill regions, including challenging terrain, limited connectivity, sparse population, and restricted revenue generation. Officials noted that these factors have historically impacted fiscal performance, resulting in higher dependence on central support and relatively lower own tax revenues.
The scheme will focus on boosting capital expenditure and easing financial pressures by supporting committed liabilities, with allocations provided over and above existing SASCI provisions for the 2026–27 financial year.
Among the beneficiary states, Arunachal Pradesh has been allotted the highest share of ₹4,900 crore. Other allocations include Himachal Pradesh (₹3,920 crore), Nagaland (₹3,880 crore), Uttarakhand (₹3,460 crore), Tripura (₹3,450 crore), Manipur (₹2,400 crore), Meghalaya (₹2,070 crore), Sikkim (₹820 crore), and Mizoram (₹100 crore).
Reacting to the development, Pema Khandu expressed gratitude to Prime Minister Narendra Modi and Finance Minister Nirmala Sitharaman, stating that the allocation would help strengthen Arunachal Pradesh’s fiscal position and support the creation of revenue-generating assets.
The government expects the additional funding to accelerate infrastructure development and enhance long-term economic sustainability across the Himalayan region.
