Nagaland Chief Minister Neiphiu Rio has requested grants exceeding ₹40,000 crore from the 16th Finance Commission, which is currently assessing the state’s fiscal requirements during a three-day visit. The funds are aimed at addressing Nagaland’s capital deficit and enhancing long-term economic stability. In discussions with the commission, CM Rio emphasized the need for robust financial support to strengthen Nagaland’s infrastructure and development, requesting ₹9,000 crore for a 364-km border highway with Assam and ₹865 crore for an airport at Ciethu. He also highlighted the need for an overall grant of ₹40,386.5 crore to gradually reduce the state’s dependency on Revenue Deficit Grants.
Rio noted that Nagaland’s agriculture sector is shifting towards commercial crops, with increased cultivation of coffee, rubber, palm oil, and areca nuts. To maximize farmer revenue, he urged the commission to fund value-addition activities such as sorting, grading, and processing, as well as establish market linkages. Nagaland’s organic farming practices also provide the state with a competitive edge, creating high-demand niche markets. Rio stressed that sustained support would make agriculture a powerful economic driver at the grassroots level.
While the tertiary sector—driven by tourism, hospitality, and a youthful population—accounts for 63.57% of Nagaland’s economy, Rio underscored the need to develop the secondary sector, which has lagged due to prolonged financial challenges. Rio also requested ₹7,884.80 crore for upgrading public infrastructure, noting that most government buildings, including schools and hospitals, are over 50 years old and in disrepair.