West Bengal unveils new investment policy with up to 120 per cent assistance
Chief Minister Suvendu Adhikari launched the Investment Promotion Policy, 2026, to drive job creation and industrial growth in the state.
West Bengal Chief Minister Suvendu Adhikari on Thursday introduced the West Bengal Investment Promotion Policy, 2026, to encourage industrialisation and employment. According to Business Standard, the policy offers financial aid of up to 120 per cent of eligible capital spent on plant and machinery for businesses in thrust sectors located within priority areas.
The assistance is distributed over 10 years from the start of production. For regular units, the aid is capped at 100 per cent of eligible fixed capital investment. Identified thrust sectors include semiconductors, electronics, electric vehicles, batteries, green hydrogen, pharmaceuticals, defence, and shipbuilding.
The policy covers MSMEs, large units, service sectors, and mega projects. It includes incentives such as State Goods and Services Tax (SGST) assistance, electricity duty reimbursement, and help with Employees’ Provident Fund (EPF) contributions. For service units, assistance is provided over five years.
Adhikari noted that the government has made a provision of ₹5,000 crore for these incentives. He also mentioned that the state is studying land policies from Uttar Pradesh, Maharashtra, Gujarat, and Andhra Pradesh to address industrial land needs.
The new policy applies to investments made on or after May 9, when the Bharatiya Janata Party government took office. However, an estimated ₹50,000 crore backlog of incentives from the previous administration remains outside the scope of this new plan.