Gold coins, rings, and livestock: Inside Tamil Nadu's new welfare Budget

Tamil Nadu's first TVK Budget sets aside over ₹1,000 crore for gold gifts and livestock schemes for women and vulnerable groups, while promising to balance welfare spending with fiscal discipline

The first Budget of the TVK government led by Chief Minister C Joseph Vijay has earmarked over ₹1,000 crore for gold gifts and livestock schemes for women and vulnerable groups.

 

Gold gifts, rings and livestock headline welfare push

 

Finance Minister N Marie Wilson announced several new welfare schemes aimed at women, newborns and disadvantaged communities while presenting the 2026-27 Budget.

 

The biggest allocation is ₹812 crore for a scheme under which eligible women will receive an eight-gram gold coin and a silk saree as a wedding gift.

 

Another ₹560 crore has been set aside for the Thai Maaman Thanga Mothiram Thittam, under which every baby born in a government hospital will receive a one-gram gold ring.

 

 

The Budget also announced the Vetri Magalir Goat Rearing Scheme, which will provide five goats or sheep free of cost to destitute widows, deserted women, transgender persons and people with disabilities. Around 30,000 beneficiaries are expected to receive support under the ₹110-crore scheme.

 

More schemes for youth and urban families

 

Beyond welfare benefits, the government announced initiatives aimed at young people and urban residents.

 

These include:

• Branded bicycles for students

• AI skill training programmes for youth

• Laptops for selected beneficiaries

• New urban housing initiatives

 

The government said these measures are designed to improve education, employment and living standards.

 

State finances remain under pressure

 

While expanding welfare spending, the government acknowledged Tamil Nadu's difficult financial position.

 

Wilson said the new administration inherited a treasury burdened by debt and weak revenues and would require at least two years to restore fiscal discipline.

 

The revised estimates project:

• Revenue deficit: ₹55,775 crore

• Fiscal deficit: ₹1.22 trillion, or 3 per cent of GSDP

• Outstanding debt by March 2027: ₹10.99 trillion (27.01 per cent of GSDP)

 

The government also plans to borrow ₹1.73 trillion during 2026-27 while repaying nearly ₹52,000 crore in existing loans.

 

Finance Secretary M A Siddique said the Budget strikes a balance between welfare spending and investments in infrastructure, adding that allocations for women's welfare and education should be viewed as long-term investments.

 

Overall welfare spending this year is estimated at ₹15,000-18,000 crore.

 

Opposition calls Budget a 'zero'

 

The Budget drew sharp criticism from the opposition. DMK president MK Stalin said it lacked fresh ideas and failed to deliver on election promises.

 

Leader of the Opposition Udhayanidhi Stalin described it as a "big zero", accusing the government of reducing spending on education.

 

AIADMK chief Edappadi K Palaniswami also gave the Budget a "zero" rating, saying it relied on renamed schemes instead of introducing new ones. He also questioned the government's finances, pointing to the rising debt burden and deficits, and accused it of failing to deliver promises such as ₹2,500 monthly assistance for women, six free LPG cylinders, a ₹3,000 old-age pension and a complete farm loan waiver. 

Institutional births remain near universal in Tamil Nadu

 

According to the National Family Health Survey (NFHS-6) 2023-24, around 99.7 per cent of births in the five years preceding the survey took place in health institutions.

 

The share of institutional births in public health facilities increased to 63.6 per cent from 54.2 per cent in NFHS-5 (2019–21). Caesarean section deliveries also rose, accounting for 46.9 per cent of all births, up from 44.9 per cent in the previous survey. Among institutional births, 60.3 per cent of deliveries in private health facilities were conducted through caesarean section, compared with 39.6 per cent in public health facilities.

 

(With agency inputs)