The 2025 Union Budget has allocated ₹6,750 crore for the Ministry of External Affairs’ overseas development projects. This is an increase of about 20% over the ₹5,667 crore allocated in the budget last year.India’s development assistance is primarily carried out through Lines of Credit, Concessional Finance Scheme and Grant in Aid projects. India has constructed dams, power infrastructure, rail, road, agriculture and healthcare projects in countries as part of it’s geopolitical engagement.
64% of the funds earmarked for overseas development projects will be directed towards India’s immediate neighbours as part of the Neighbourhood First policy.
Overall allocation for the Ministry External Affairs in the Union Budget is ₹20,516 crore, a 15% increase over last year. The MEA has received a 9% higher outlay for construction of 10 new missions and posts abroad.The budget has allocated ₹1,970 crore for upgradation of passport services across the country. The 97% increase in outlay for passport services are aimed at boosting technological upgradation in passport services.
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