What Happened
- Bihar has spent Rs 2.5 lakh crore, or approximately 20% of its total budget, on women-centric schemes over the last five financial years through its Gender Budget -- a separate accounting mechanism first introduced in the state in 2008-09.
- The Gender Budget rose from Rs 41,864 crore (18.05% of total budget) in 2022-23 to a peak of Rs 75,691 crore (30.03%) in 2023-24, before declining to Rs 39,034 crore (14%) in 2024-25 and rising again to Rs 48,657 crore (15.3%) in 2025-26.
- In the 2026-27 budget announced on February 3, the Nitish Kumar government allocated Rs 46,000 crore (13.25%) for women's employment, education, and welfare schemes.
- The flagship Mukhyamantri Mahila Rojgar Yojana (CM Women Employment Scheme, also called "Dashhazari") provides Rs 10,000 to each woman beneficiary; the second instalment is being disbursed to an estimated 1.52 crore women.
- The Gender Budget concept was pioneered by then Deputy Chief Minister Sushil Kumar Modi and is credited with consolidating women as a major voter base for the NDA coalition in Bihar.
Static Topic Bridges
Gender Budgeting in India
Gender budgeting is a fiscal tool that analyses government budgets from a gender perspective to ensure that resources are allocated equitably to address the specific needs of women and girls. India formally adopted gender budgeting at the Union level in 2005-06.
- The Government of India introduced its first Gender Budget Statement in the Union Budget of 2005-06, structured in two parts: Part A (schemes with 100% allocation for women) and Part B (schemes with at least 30% allocation for women)
- The Ministry of Finance issues an annual budget circular requiring all ministries to identify gender-specific allocations
- A Gender Budgeting Secretariat is placed in the Ministry of Finance, and Gender Budgeting Cells have been set up in sectoral ministries
- Among states, Odisha was the first to adopt gender budgeting in 2004, even before the Union government; Uttar Pradesh, Tripura (2005), Karnataka, and Gujarat (2006) followed
- Bihar introduced its separate Gender Budget document in 2008-09, aggregating women-centric expenditure across all departments
Connection to this news: Bihar's Gender Budget represents one of the most systematic state-level implementations of gender budgeting in India, with cumulative spending of Rs 2.5 lakh crore over five years and allocations reaching as high as 30% of the total state budget.
Women's Economic Empowerment Schemes
Women's economic empowerment programmes in India span central and state governments, providing direct benefit transfers, skill development, credit access, and entrepreneurship support to bridge gender gaps in economic participation.
- Bihar's Mukhyamantri Mahila Rojgar Yojana provides Rs 10,000 seed money to one woman per family for self-employment; Phase 1 covered over 1.56 crore women; Phase 2 offers up to Rs 2 lakh additional support for viable business proposals
- Other Bihar schemes include free bicycles for girls (Mukhyamantri Balika Cycle Yojana), school uniforms, fee waivers for girls from Class 1 to post-graduate level, and loans/subsidies of up to Rs 10 lakh for women entrepreneurs
- At the national level, key schemes include PM Mudra Yojana, Stand-Up India, Beti Bachao Beti Padhao, and Mahila Samman Savings Certificate
- India's female labour force participation rate (LFPR) has been historically low; the Periodic Labour Force Survey (PLFS) 2022-23 showed improvement to approximately 37% (usual status)
Connection to this news: Bihar's flagship women's employment scheme, which provided seed money to 1.56 crore women in Phase 1, represents a direct fiscal strategy to boost female economic participation in a state with historically low women's workforce engagement.
Electoral Impact of Welfare Schemes
Targeted welfare schemes, particularly those providing direct cash transfers to specific demographics, have become a significant factor in Indian electoral politics. Studies show that beneficiaries of government schemes tend to have higher rates of political participation and incumbency support.
- Bihar's Dashhazari scheme is credited with playing a major role in the NDA's landslide victory in the 2025 Assembly elections
- Similar models include Telangana's Kalyana Lakshmi and Aasara pensions, Tamil Nadu's women-focused schemes, and Madhya Pradesh's Ladli Behna Yojana (Rs 1,250/month to women)
- The Nitish Kumar government has strategically used women-centric schemes to build a "caste-neutral" constituency of women voters
- Critics argue that such schemes prioritise short-term electoral gains over structural transformation in employment and education
Connection to this news: The Bihar government's sustained investment in the Gender Budget and the Dashhazari scheme illustrates how targeted welfare spending on women has become a central tool for building and consolidating electoral support, with direct implications for state-level fiscal priorities.
Key Facts & Data
- Bihar's Gender Budget spending over 5 years: Rs 2.5 lakh crore (~20% of total budget)
- Gender Budget peak: Rs 75,691 crore (30.03%) in 2023-24
- Gender Budget 2026-27 allocation: Rs 46,000 crore (13.25%)
- Gender budgeting introduced at Union level in 2005-06; Bihar introduced its separate Gender Budget in 2008-09
- Mukhyamantri Mahila Rojgar Yojana Phase 1: Over 1.56 crore women received Rs 10,000 each
- Phase 2: Up to Rs 2 lakh additional support for viable business proposals
- Odisha was the first state to adopt gender budgeting in 2004
- India's female LFPR (PLFS 2022-23): Approximately 37% (usual status)