Bihar Cabinet Approves 43 Proposals Including MSME‑2026, AI‑2026 and Goal to Make One Crore Families Entrepreneurs

Summary

The Bihar state cabinet, chaired by Chief Minister Samrat Chaudhary, approved 43 proposals on Wednesday. Key approvals include the Bihar MSME Policy‑2026, AI Policy‑2026 and Bio‑fuel/CBG Policy‑2026. The government reiterated its five‑year target of turning one crore families into entrepreneurs and creating one crore direct and indirect jobs.

Main Decisions

• MSME Policy‑2026 – establishment of an industrial cluster in every district and MSME centres in all 38 districts; approval of the CM‑CDP‑2026 cluster‑development scheme and the Micro‑Enterprise Facilitation Council Rules‑2026.
• AI Policy‑2026 – framework for artificial‑intelligence adoption across administration, education and industry.
• Bio‑fuel & CBG Policy‑2026 – incentives for bio‑fuel and compressed‑bio‑gas production.
• Financial incentives for two private firms: *M/s Eastern Agro‑Chemicals Ltd* (Galkalia, Thakurganj, Kishanganj) and *M/s Westwell Biorefineries Pvt Ltd* (Rajapatti, Bakhtpur, Gopalganj).
• Power infrastructure – ₹33.44 crore for two 200 MVA transformers at Darbhanga and Khagaria grid substations; ₹11,096.55 crore over three years for LT system upgrades, cable replacement and transformer capacity expansion, with loan guarantees of up to ₹6,066 crore (North Bihar) and ₹5,030.55 crore (South Bihar).
• Police and enforcement – creation of 12 posts (including three SP positions) in Motihari, Purnia and Saran; 143 new posts for the Economic Offences Wing.
• Urban projects – approval of feasibility study (₹18.21 crore) for an underground road corridor in Patna; ₹37.10 crore for consultancy on the Vishwamitra, Ganga‑Ambika and Narayani road projects.
• Education & sports – ₹58.80 crore for hostel facilities for 49,000 engineering and polytechnic students; ₹12 crore to Bihar Olympic Association for Bihar State Games‑2026; ₹2.34 crore for BSNL‑led WhatsApp‑based citizen service portal.

Practical Implications

• Entrepreneurs can expect new MSME clusters and support centres in every district, potentially easing access to credit, training and market linkages.
• Companies receiving financial‑incentive clearances will likely begin project‑level planning; investors should monitor tender notices from the state’s Industries Department.
• Power‑sector upgrades aim to reduce outages, benefitting both households and industrial units; loan‑guarantee details will be disclosed by the respective power distribution companies.
• Citizens can track the progress of road‑infrastructure projects through the Bihar Road Development Authority’s website, where feasibility reports will be uploaded.

How to Verify

All approvals were recorded in the official minutes of the Bihar cabinet meeting held on 30 October 2024. The state government’s press release (available on the Bihar Government portal) lists the 43 proposals and provides links to the draft policies. For the MSME‑2026 policy, the draft document is posted on the Department of Industries website; the AI‑2026 draft is on the IT Department portal.

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