Central Government has allocated ₹3,880 crore to Nagaland for the financial year 2026-27 under the "Pride of the Mountains: Special Development Assistance for Hill States" scheme

¨  Central Government has allocated ₹3,880 crore to Nagaland under the “Pride of Hills: Special Development Assistance for the Hill States” scheme for the financial year 2026–27.

¨     The initiative is designed to address structural challenges faced by hill states, including difficult terrain, limited connectivity, sparse populations and constrained revenue bases.

¨   It forms part of the broader Special Assistance to States for Capital Investment (SASCI), aimed at strengthening infrastructure and economic capacity.

Scheme objectives and framework

¨     The “Pride of Hills” scheme focuses on enhancing capital expenditure and promoting balanced regional development.

¨     Hill states often face higher costs of infrastructure development due to geographical constraints.

¨     The scheme seeks to bridge these gaps by providing targeted financial assistance, thereby improving connectivity, public services and economic opportunities in these regions.

State-wise allocation pattern

¨     Under the total outlay of ₹25,000 crore for nine hill states, Arunachal Pradesh received the highest allocation of ₹4,900 crore, followed by Himachal Pradesh with ₹3,920 crore.

¨     Nagaland was allotted ₹3,880 crore, while Uttarakhand and Tripura received ₹3,460 crore and ₹3,450 crore respectively.

¨     Manipur was allocated ₹2,400 crore and Meghalaya ₹2,070 crore. Sikkim and Mizoram received ₹820 crore and ₹100 crore respectively, reflecting varying developmental needs and project priorities.