In a major push to strengthen rural infrastructure in West Bengal, the Centre led by Narendra Modi has approved the construction of 10 lakh houses under the Pradhan Mantri Awas Yojana (PMAY), along with a broader financial package covering roads, employment, and pensions.

According to official sources, a total of Rs 1,700 crore has been sanctioned for the state.

The allocation includes funding for rural roads, pension schemes, and the 100-day work programme. The move comes soon after the Lok Sabha elections and is being viewed as a significant step toward revitalising Bengal’s rural economy.

The PMAY had been a contentious issue in the state in recent years. In 2022, the Centre halted fund disbursal citing allegations of corruption, despite initially allocating Rs 8,200 crore for the construction of 11.5 lakh houses. The suspension triggered a prolonged political standoff between the Centre and the state government.

State’s response: 28 lakh houses built

In response to the funding halt, the government led by Mamata Banerjee undertook the construction of nearly 28 lakh houses over the past two financial years using its own resources. With the Centre now approving an additional 10 lakh houses, officials believe the number of kaccha houses in rural Bengal will decline significantly, providing relief to economically weaker sections.

Infrastructure development has also received a boost, with Rs 800 crore sanctioned under the Pradhan Mantri Gram Sadak Yojana (PMGSY). Rural road construction had slowed in recent years, although the state government had launched the ‘Pathashree’ scheme ahead of the elections. The fresh central allocation is expected to accelerate connectivity projects across villages.

Funds for employment and pensions

Additionally, Rs 700 crore has been earmarked for the resumption of the 100-day work scheme in Bengal from June. A further Rs 600 crore has been approved for rural pension schemes under the Panchayat Department.

Political analysts suggest that the timing of these allocations—following the formation of the new government at the Centre—may carry political significance. Leaders of the Bharatiya Janata Party have highlighted the move as an example of the ‘double-engine’ governance model, arguing that coordination between the Centre and the state can accelerate development.

The developments mark a renewed phase of Centre-state engagement in Bengal, with potential implications for both governance and the political landscape.