Uttar Pradesh – Economic Powerhouse & Tourism Hub of India

Recent Developments in Key Sectors

• Kushinagar district in Uttar Pradesh has been identified as a Banana Cluster under the Operation Greens component of Pradhan Mantri Kisan SAMPADA Yojana (PMKSY) and as a One District One Product (ODOP) region for bananas under Pradhan Mantri Formalisation of Micro Food Processing Enterprises (PMFME). A total of 261 projects have been approved in the district under PMFME.
• Uttar Pradesh has developed several new agro and food-processing parks in Bareilly, Barabanki, Gorakhpur, and Varanasi, boosting the state’s role as an emerging leader in food processing. This rapid growth, driven by strategic policy support and investment, is strengthening the agricultural value chain and increasing export opportunities for processed foods.
• Uttar Pradesh currently has more than 65,000 operational food processing units employing 2.5 lakh people. The new Food Processing Industry Policy 2023 has approved 19 new projects and incentivizes solar energy, cold-chain infrastructure, and cluster models for robust value chains. The government aims to set up 1,000 new units in every district to increase local processing and job creation.
• The National Dairy Development Board (NDDB) signed an MoU with the Uttar Pradesh government to operate three major dairy plants (Kanpur, Gorakhpur, Kannauj) and an animal feed production plant to increase farmer profitability and modernize dairy infrastructure.
• Uttar Pradesh has significantly enhanced healthcare infrastructure including disease control, maternal health, medical education, and traditional medicine integration. The state issued 5.34 crore Ayushman Cards providing cashless treatment to 70.36 lakh people. The emergency healthcare system is strengthened with 2,200 '108' ambulances and 375 Advanced Life Support ambulances. Dialysis is free in all districts, and 74 CT scan centers are operational. Over 1,153 medical units achieved National Quality Assurance certification.
• Chief Minister of Uttar Pradesh Mr. Yogi Adityanath inaugurated new buildings and additional dormitories in 139 upgraded Kasturba Gandhi Balika Vidyalayas, emphasizing girl child education. He also laid foundation stones for 43 Chief Minister Model Composite Schools and 66 Chief Minister Abhyudaya Composite Schools, expanding modern education access. The state installed smart classrooms in 7,409 government schools and Resource Centres for Technology labs in 5,228 schools. Over 51,667 teachers received tablets to enhance digital teaching, and digital libraries were developed in 503 PM Shri Schools to democratize quality education.
• The UP government adopted the Smart City framework with key initiatives including smart roads, traffic management, smart classrooms, e-health kiosks, smart parking, and expansion of smart city programs to tier-II and tier-III cities, promoting sustainable urban growth and improved public services.
• Chief Minister of Uttar Pradesh Mr. Yogi Adityanath outlined a new Urban Redevelopment Policy focusing on rejuvenating cities by transforming old structures, enhancing public amenities, promoting private investment, and ensuring environmental balance. The policy also includes establishing a single-window approval system and a state-level redevelopment authority.
• The draft National Telecom Policy 2025 (NTP 2025) puts forward a mission-driven roadmap targeting 100% 4G and 90% 5G population coverage, fiber connectivity for 80% of telecom towers, and broadband for 100 million homes by 2030. The policy seeks to stimulate Rs. 1 trillion (US$ 11.28 billion) in annual telecom investment and create one million new jobs. It also focuses on artificial intelligence, 6G, satellite communications, and enhancing network trust.
• In the State Budget FY26:
  • In the State Budget FY26, Rs. 1,00,335 crore (US$ 12.05 billion) has been allocated for education, sports, art and culture. Out of this Rs. 42,234 crore (US$ 4.76 billion) has been allocated towards assistance to non-government primary schools and Rs. 18,657 crore (US$ 2.10 billion) has been allocated towards primary education under Samagra Shiksha Abhiyan.
  • As per the State Budget FY26, Rs. 45,832 crore (US$ 5.17 billion) has been allocated to the energy sector. Out of this, Rs. 17,700 crore (US$ 2 billion) is allocated for power subsidies.
  • As per State Budget FY26, a total amount of Rs. 23,744 crore (US$ 2.68 billion) has been allocated towards Urban Development. Out of this, Rs. 6,113 crore (US$ 716.6 million) has been allocated as capital outlay for urban development.
  • In the State Budget FY26, Rs. 42,774 crore (US$ 4.83 billion) has been allocated to Health and Family welfare. Out of this, Rs. 6,427 crore (US$ 753.5 million) has been designated for Urban Health Services (Western Medicine), while Rs. 5,191 crore (US$ 608.6 million) is allocated for Rural Health Services (Allopathy).
  • In the State Budget FY26, Rs. 44,600 crore (US$ 5.03 billion) has been allocated for the development of roads and bridges. Of this, Rs. 38,343 crore (US$ 4.3 billion) is allocated towards capital investment in roads and bridges.
  • In the State Budget FY26 Rs. 21,533 (US$ 2.43 billion) were allocated to agriculture and allied activities. Out of this, Rs. 2,210 crore (US$ 259.1 million) is allocated towards animal and buffalo development.
• The Uttar Pradesh government cleared food processing proposals worth more than Rs. 10,000 crore (US$ 1.13 billion) to boost the rural economy. Policies are aimed at augmenting farm income and creating new rural employment, with a 98% bank loan approval rate under the PMFME scheme.
• With the help of the state government's Food Processing Industries Policy 2017 (revised), the government has planned to set up 375 large food processing units in 2022.
• In May 2022, Amity University in Noida, Uttar Pradesh, signed an MoU with the Tourism & Hospitality Skill Council (THSC), with the aim to train the students in the field of tourism, travel, hospitality and aviation by different campuses of Amity University, through the implementation programmes under this MoU.

Uttar Pradesh continues to consolidate its position as one of India’s most dynamic growth engines, driven by strong agricultural output, rising industrial investment, and a rapidly expanding tourism ecosystem. The state’s focused push on infrastructure, renewable energy, digital growth, education, and healthcare is creating a more competitive and investor-friendly environment. With major developments across food processing, dairy, IT, data centres, urban development, and connectivity, Uttar Pradesh is steadily strengthening its economic base. Backed by proactive policy reforms, large-scale budget allocations, and a growing skilled workforce, the state is well placed to attract fresh investments, generate employment, and sustain long-term, broad-based growth.