Land bank, 24X7 ops for shops, startup policy: Bengal Budget 2026 unveils major reforms to boost investment

The West Bengal government has announced a slew of mega reforms aimed at attracting investment and accelerating industrial growth in the state as part of its 2026-27 Budget presented in the Assembly on Monday.

State finance minister Swapan Dasgupta, presenting the budget on behalf of Chief Minister Suvendu Adhikari’s government, outlined several measures focused on ease of doing business and creating a more investment-friendly environment.

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Single-window clearance for large investments

Among the key announcements was the introduction of a single-window clearance system for large-scale investments.

Under the new policy, proposed investments of Rs 100 crore or more will no longer require separate building plan approvals, trade licences, or other permissions from district councils and panchayat bodies.

Instead, all approvals will be processed through a state-level integrated mechanism within a specified timeline.

Urban Land Ceiling amendment

The government also announced a review of the Urban Land (Ceiling and Regulation) Act, 1976, to remove barriers to large institutional investments.

The move is intended to unlock commercial potential in urban land and facilitate greater industrial development, the government reasoned.

Land bank

To enhance land availability for industries, the government has planned to create a comprehensive land bank by identifying unused land held by state public sector undertakings and other government agencies.

Under the new police the government will review all land allocated in industrial zones that has remained unused beyond contractual deadlines and will be reclaimed by the government, with lease premiums and related charges returned without interest.

These lands will then be reassigned through a technology-driven and transparent process.

24×7 operations

The budget also proposed amendments to the West Bengal Shops and Establishment Act, 1963, to permit businesses to operate on a 24×7 basis.

The finance minister said that shops, restaurants, offices, logistics firms and hospitality establishments will be allowed round-the-clock operations with labour protections in place.

The initiative will initially be introduced as a pilot project in Kolkata and other major urban centres.

Legislation against illegal collections

In an effort to increase investor confidence and reduce the cost of doing business, the government has announced plans to introduce stricter legislation against illegal collections, extortion and syndicate charges affecting lawful businesses.

New starup policy

Several measures were also announced for the technology and startup sector.

The state government will bring a new startup policy within the next three months, backed by an incubation fund of Rs 40 crore and a venture capital fund of Rs 60 crore.

The government also announced a Rs 50 crore Chief Minister’s Science and Technology Talent Attraction Fund to encourage global talent and strengthen the state’s deep-tech startup ecosystem.

Global Capability Centre policy

The government has planned to introduce a dedicated Global Capability Centre (GCC) policy to attract higher-value business operations.

Calcutta Stock Exchange

It further announced support for reviving the Calcutta Stock Exchange and plans to explore listing promising state public sector undertakings on stock exchanges to raise capital.

Cloud kitchen policy

Additionally, a new cloud kitchen policy aimed at empowering women entrepreneurs will be introduced with provisions for digital skill development and micro-finance support.

During his budget speech, state finance minister Swapan Dasgupta said the government would undertake a comprehensive review of existing regulatory procedures, approvals and inspection systems to simplify processes and reduce compliance burdens on entrepreneurs, with the aim of transforming West Bengal into a more investment-friendly destination.