The Union Budget 2025-26 has introduced significant allocations for the Department of Posts, emphasizing digital transformation, infrastructure development, and employee welfare. With a total budget of ₹41,086.97 crore, the focus remains on modernizing postal services, expanding e-commerce logistics, and enhancing rural connectivity.
Key Budget Highlights of India Post for 2025-26
1. Higher Allocation for Salaries and Pensions
- Pay & Allowances: ₹23,458 crore (up from ₹22,300 crore in 2024-25).
- Pension Provision: ₹13,125 crore (compared to ₹12,250 crore last year).
- Increased investment in operational efficiency and workforce management.
2. Boost to Postal Infrastructure & E-Commerce
- ₹177 crore allocated for expanding Speed Post hubs, parcel booking centers, and GPS tracking in mail vans.
- Establishment of 800 Dakghar Niryat Kendras (DNKs) to strengthen postal e-commerce logistics.
- Upgradation of mail offices, parcel centers, and international business centers.
3. Digital Transformation: IT Modernization 2.0
- ₹729 crore allocated for IT Modernization Project 2.0.
- Computerization and networking of post offices for faster service delivery.
- Enhancement of digital postal services to align with India’s Digital Economy vision.
4. India Post Payments Bank (IPPB) Update
- Unlike previous years, no capital allocation has been made for India Post Payments Bank (IPPB) in 2025-26.
- The shift indicates a possible self-sustainability model for IPPB operations.
5. Investment in Human Resource & Estates Management
- ₹39.37 crore allocated for HR management, including training and skill development.
- ₹120 crore designated for construction and maintenance of postal buildings.
6. Focus on Rural & Government Services Integration
- Expansion of Common Services Centers (CSCs) to provide:
- PM-SVANidhi loans for street vendors.
- Ayushman Bharat health insurance.
- Pension and social security schemes.
- Strengthening postal networks in Left-Wing Extremist (LWE) affected areas for improved accessibility.
