With a significantly large proportion of India’s population comprising children and young people, the Union Budget 2026 offers an important opportunity to strengthen India’s long-term development pathway. Beyond headline allocations, sustained prioritisation, realistic budgeting, and effective spending will be key to ensuring that children remain at the centre of the country’s growth journey.
Why children matter to the Budget
India is home to more than 47 crore children, constituting close to 40 per cent of the overall population according to the Census 2011 data (though according to more recent estimates by UNFPA, it stands approximately at one-fourth of the total population).
As India seeks to harness its youth power, purposeful and sustained investment in children and adolescents becomes fundamental to achieving long-term, inclusive growth. Each Union Budget, therefore, plays a critical role in signalling how the nation plans to support its youngest citizens.
In recent years, allocations for child-related schemes have reflected an intent to strengthen children’s immediate well-being as well as their long-term development and protection. Going forward, this intent can be further strengthened by ensuring closer alignment between budget planning and effective utilisation of resources.
Rising allocations, evolving priorities
In absolute terms, the core child budget has increased steadily – from Rs 65,758.45 crore in 2016–17 to Rs 1,16,132.5 crore in 2025–26. However, when viewed as a share of the total Union Budget, the proportion allocated to children has remained relatively stable over recent years. While it stood at 3.32 per cent in both 2016–17 and 2017–18, the share ranged between 2.46 per cent and 2.28 per cent during 2021–22 to 2024–25, with a marginal rise to 2.29 per cent in 2025–26.
If India aims to advance towards inclusive growth with children firmly at the centre of its development journey, greater priority to children’s rising needs and evolving developmental challenges will be increasingly important in future budgets.
Spending patterns vis-à-vis policy focus
An analysis of budget estimates (BE) and actual expenditure shows that child-related spending continues to be anchored by Samagra Shiksha, Saksham Anganwadi, and POSHAN 2.0. Among these, Samagra Shiksha has consistently accounted for the largest share, rising from around 20 per cent in 2021–22 to over 35 per cent in subsequent years. This trend reflects a sustained policy focus on strengthening school education outcomes.
Saksham Anganwadi and POSHAN 2.0 together represent the second-largest share of the child budget. Notably, actual expenditure under these schemes has exceeded budget estimates, with spending ranging between 19.4 per cent and 21.3 per cent, compared to BE allocations of 12.7 per cent to 18.6 per cent. This pattern underscores the growing emphasis on nutrition and early childhood care and education as foundational investments.
Aligning allocations with on-ground realities
Some schemes present opportunities for closer alignment between allocations and utilisation. For instance, the Pradhan Mantri POSHAN scheme has seen budget estimates remain relatively stable at around 11 per cent between 2019–20 and 2025–26, while actual expenditure declined from 14.6 per cent in 2022–23 to 9.5 per cent in 2023–24.
Similarly, allocations for PM Schools for Rising India (PM SHRI) increased from 3.9 per cent in 2023–24 to 6.5 per cent in 2025–26, while actual expenditure in 2023–24 stood at 1.4 per cent. These trends highlight the need for stronger synchronisation between planning, implementation capacity, and spending timelines.
Strengthening the child protection framework
Mission Vatsalya, the flagship scheme for child protection, reflects a gradual increase in budget estimates—from Rs 900 crore in 2021–22 to Rs 1,500 crore in 2025–26. Actual expenditure has also risen, from Rs 761 crore in 2021–22 to Rs 1,391 crore in 2023–24. Going ahead, ensuring closer alignment between allocations and utilisation can help strengthen child protection responses in an increasingly complex social landscape.
As Mission Vatsalya serves as a crucial instrument for child safety by acting as the unified national framework for child protection, and integrates legal, administrative, and social systems to create a synchronized ecosystem that ensures no child is left behind; the call of the hour is to ensure transformative increase in adequate allocation for the fullest implementation of the scheme, thereby prioritising children’s overall development including psychological and emotional wellbeing.
From financial commitment to developmental impact
These patterns point to the importance of viewing child-related budgeting through a quality-and-impact lens. While allocations for child development and protection have largely increased, greater attention to forecasting, execution, and outcome monitoring can further enhance the effectiveness of these investments.
Maintaining a measured balance between budget estimates and actual expenditure will be critical to advancing the country’s vision for child well-being. This effort can be reinforced through robust monitoring systems and sustained collaboration between government, civil society, and communities.
Looking ahead to Budget 2026
As the Union Budget 2026 is presented on February 1, the moment offers a historic opportunity to deepen India’s commitment to its children – not only through incremental increases in allocations, but by ensuring a stronger and more visible share for children within the overall budget framework.
By aligning financial planning with implementation realities, strengthening accountability, and adopting a long-term, child-centric fiscal approach, Budget 2026 can help lay the foundation for a healthier, more educated, and more resilient generation. Investing in children today is, ultimately, an investment in the nation’s future.
To sum up, Union Budget 2026 arrives at a moment when India’s demographic promise is closely tied to the choices it makes for its children today. How the Budget prioritises child development, protection, and nutrition will shape not only immediate outcomes but the country’s long-term growth trajectory.
The author is CEO of CRY (Child Rights and You).
The opinions expressed in this article are those of the author and do not purport to reflect the opinions or views of THE WEEK.