Tamil Nadu Budget 2025 Highlights: BJP’s Annamalai slams DMK’s budget, calls it ‘corrupt, empty’

Congress MP Manickam Tagore has voiced strong criticism against the Tamil Nadu government’s decision to replace the Rupee symbol (₹) with the Tamil symbol ‘Ru’ in the State Budget. Tagore emphasized the ongoing financial challenges faced by the state, stating, “Tamil Nadu has been subjected to discrimination by the central government. The allocation of funds to Tamil Nadu has been halted, and this unfair treatment must come to an end.”

Addressing the alleged TASMAC scam, Tagore took a firm stance against the role of central agencies, remarking, “It is absurd that whatever Annamalai says, the Enforcement Directorate (ED) appears to be documenting it as fact. The misuse of agencies like ED and CBI must be stopped, and the judiciary should intervene. ED offices have become compromised, seemingly taking orders from the BJP headquarters. Currently, ED is functioning as an extension of Annamalai’s agenda.”

Tamil Nadu BJP chief K. Annamalai has strongly criticised the state government’s approach to the 2025 budget and recent controversies.

Addressing the media, Annamalai said, “The Tamil Nadu government deliberately stirred controversy yesterday by attempting to alter the rupee symbol, creating unnecessary commotion. Additionally, we have seen the Enforcement Directorate’s initial report regarding the raid on the state-run liquor corporation, TASMAC. The report suggests that the ruling party has received kickbacks exceeding Rs 1,000 crore.”

He further explained the BJP’s decision to walk out of the Assembly, stating, “The entire budget presentation is nothing but an eyewash. There is no substantial or productive initiative outlined. Moreover, the government has clearly not learned from its mistakes, as evident in the recent symbol controversy.”

Over the next two years, 20 lakh college students in Tamil Nadu will receive either a tablet or a laptop, according to their preference. Rs 2,000 crore has been earmarked for this initiative in the 2025-26 budget.

Detailed project reports for metro rail projects on Coimbatore’s Avinashi Road and Sathyamangalam Road, costing Rs 10,740 crore, and the Thirumangalam–Othakadai corridor in Madurai, estimated at Rs 11,368 crore, have been submitted for equity contribution from the union government. Construction will begin once approval is granted.

To transform Coimbatore into a modern industrial hub, semiconductor manufacturing parks will be set up in Sulur and near Palladam, each spanning 100 acres. This initiative aims to boost the region’s engineering and foundry industries, according to Finance Minister Thangam Thenarasu, as quoted by PTI.

The Tamil Nadu government will launch the Tamil Nadu Maritime Transport Manufacturing Policy 2025. This policy will encourage investment and new ideas in designing ships and boats, building ship hulls, and producing ship engines. The growth of this industry is expected to create 30,000 jobs in districts like Cuddalore and Thoothukudi, while also helping the development of small businesses.

Tamil Nadu BJP President K Annamalai slammed the DMK government for its fifth TN budget, saying it only includes “empty announcements for publicity” and results in “thousands of crores in corruption” every year.

Annamalai took to X and wrote, “It is no wonder that the budget released by the DMK every year is so empty, containing nothing but empty announcements for publicity, without fulfilling any election promises, and only committing thousands of crores of corruption.”

The Tamil Nadu government has introduced a program to help women entrepreneurs with skill development and business advice. It will also offer bank loans of up to Rs 10 lakh, along with a 20% subsidy.

For the infrastructure sector, the FM announced the state’s plans to build a new airport in Ramanathapuram, Rameswaram. Under the Kalaignar scheme, approximately 1 lakh houses will be constructed with an investment of Rs 3,500 crore. Additionally, the 9 km Porur Metro line, connecting Poonamallee to Porur, is set to open to the public by December 2025.

While addressing the NEP controversy, Thangam Thennarasu said that the Union Government had deceived them by withholding Rs 2,152 crores from the State for not accepting the NEP, which promotes a language system. Despite the Union Government not providing the necessary funds, the State government used its own resources to support government school students, pay teachers’ salaries, and cover other expenses.

Tamil Nadu’s fiscal deficit for FY2024-25 dropped to 3.26% in revised estimates from 3.44%.

FM Thennarasu credited Tamil Nadu’s long-standing legacy in education reform. He highlighted the state’s pioneering role in implementing mid-day meal schemes and ongoing efforts to expand access and quality in public education.

The Budget emphasized property rights for women, with the Finance Minister stating Tamil Nadu was among the first to legally recognize women’s ownership rights. He stressed the importance of economic and legal empowerment for gender equality.

The Tamil Nadu Budget 2025-26 presents a balanced vision by combining cultural pride with infrastructure development. From language museums and Olympiads to roads, flyovers, and river rejuvenation, the Budget reflects both progress and tradition.

The state government has earmarked Rs 675 crore for the modernization of drinking water supply infrastructure. The project will enhance access to clean water and improve living conditions in both urban and rural areas across Tamil Nadu.

The Finance Minister reiterated that Tamil Nadu has been persistently urging the Centre to release pending dues. A total of Rs 3,796 crore remains unreleased, which the state claims is essential for implementing its developmental projects and schemes.

The state will establish a language museum called “Agaram” in Madurai. The museum will showcase the pluralistic nature of Indian languages and serve as an educational hub celebrating linguistic heritage, especially Tamil’s classical legacy.

The state government will continue its flagship scheme of constructing 1 lakh houses in 2025-26. Initially launched in the previous Budget, this housing programme aims to provide dignified living spaces for economically weaker sections across Tamil Nadu.

A major cultural initiative was unveiled with the announcement of an annual World Tamil Olympiad. The event will celebrate the richness of Tamil language and literature, fostering global academic exchange and cultural pride.

FM Thennarasu said the Centre has not yet released Rs 3,796 crore owed to Tamil Nadu. He emphasized that the state will continue to press for these funds to ensure uninterrupted execution of welfare and infrastructure projects.

The Rs 1,500 crore Adyar river restoration project is on track and expected to be completed in 15 months. The initiative focuses on ecological rejuvenation and flood management, turning the river into a sustainable urban waterway.

A new flyover project worth Rs 310 crore has been announced in Velachery. Spanning nearly 3 km, the flyover aims to ease traffic congestion in this busy urban corridor and improve urban mobility in Chennai city.

Rural infrastructure got a boost with a Rs 120 crore allocation for improving road connectivity in villages. The state aims to enhance last-mile connectivity and support economic activities in rural belts through better road infrastructure.

Finance Minister Thangam Thennarasu announced the state’s commitment to deep sea research in the Budget 2025-26. The initiative aims to explore marine resources, foster scientific research, and create new avenues in the blue economy sector for Tamil Nadu.

Reaffirming the DMK government’s ideology, the FM said Tamil Nadu is committed to social justice and inclusive development. He underlined policies aimed at equitable resource distribution and supporting marginalised communities through targeted welfare initiatives.

AIADMK members staged a walkout from the Assembly after trying to raise the alleged Rs 1,000 crore TASMAC fraud. The Finance Minister continued his speech amid the commotion, emphasising the state’s commitment to transparency and development.

Highlighting economic goals, the Minister said manufacturing must be the central pillar for employment generation. He reiterated that Tamil Nadu will push industrial development while ensuring the conservation of natural resources and sustainable growth across regions.

The Finance Minister listed new initiatives to promote Tamil language as part of the Budget. These efforts aim to strengthen cultural identity and ensure the language finds prominence in educational, administrative, and official communication domains.

Tamil Nadu Finance Minister Thangam Thennarasu said the Budget is no longer just about numbers but a developmental tool for citizens. He emphasized that social justice, women empowerment, and poverty eradication define the state’s governance philosophy moving forward.

In 2022-23, Tamil Nadu recorded a per capita income of Rs2.78 lakh, which is 1.6 times higher than the national average of Rs 1.69 lakh. The state has consistently outperformed the national average and holds the position of having the fourth-highest per capita income in the country.

The Budget is expected to focus on expanding social welfare spending. With the 2026 Assembly elections approaching, the DMK government may use the Budget to showcase its commitment to welfare schemes and inclusive development across sectors.