Tamil Nadu Chief Minister and DMK leader MK Stalin Facebook/DMK - Dravida Munnetra Kazhagam
Tamil Nadu

Ahead of Budget 2026, CM Stalin urges higher fund allocation for Tamil Nadu

Stalin’s statement came ahead of Finance Minister Nirmala Sitharaman presenting the Union Budget for 2026-27.

Written by : TNM Staff

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Ahead of the Union Budget 2026, Tamil Nadu Chief Minister MK Stalin, on February 1, listed a series of demands for fund allocations.

In a statement, Stalin asked, “Will the announcements for Tamil Nadu be included, even if it's with the Usual Thirukkural quote, keeping the election in mind?” 

His statement came ahead of Finance Minister Nirmala Sitharaman presenting the Union Budget for 2026-27.

Among CM Stalin's key demands was the release of Rs 3,458 crore under the Samagra Shiksha Abhiyan (SSA).

The Union government had earlier withheld the state’s SSA funds, as Tamil Nadu has not implemented the controversial National Educational Policy (NEP). 

The state government subsequently closed admissions under the Right to Education Act, citing insufficient funds. The portal was later reopened

CM Stalin also demanded the approval of Metro Rail projects in Madurai and Coimbatore.

In November 2025, the Union Ministry of Housing and Urban Affairs (MoHUA) rejected the Tamil Nadu government's proposal for Metro Rail projects in Madurai and Coimbatore, citing the Metro Rail Policy of 2017.

Under the Metro Rail policy, only cities with a population of 20 lakh (2 million) or more, based on the 2011 census, are considered eligible for mass metro transit.

According to the 2011 census, Coimbatore had about 15.84 lakh people, while Madurai had around 15 lakh, MoHUA said, while rejecting the proposal.

Stalin further sought Rs 3,112 crore for the Jal Jeevan Mission, which he said Tamil Nadu has been implementing effectively.

He also reiterated his demand for a 50% share in the Union government's tax revenue for states, in accordance with the Finance Commission’s recommendations.

However, while presenting the Budget, Nirmala Sitharaman said that there is no change in the tax revenue sharing with states and added it would continue as 42%.

The Chief Minister said those announcements should not remain only on paper, citing the Madurai All India Institute of Medical Sciences (AIIMS) project as an example, and urged the Union government to ensure all projects are backed by adequate funding and implemented within the stipulated timeline.

The incomplete AIIMS facility in Madurai has been a matter of controversy between the Bharatiya Janata Party (BJP) and ruling Dravida Munnetra Kazhagam (DMK) government, ever since Prime Minister Narendra Modi laid the foundation stone in 2019.

No further work towards the project has been done since then by the Union government. The incomplete project became an important talking point during the 2021 Tamil Nadu Assembly elections.