West Bengal unveils new investment policy to boost jobs and industry
Chief Minister Suvendu Adhikari introduced the West Bengal Investment Promotion Policy, 2026, offering up to 120 per cent assistance for certain sectors.
West Bengal Chief Minister Suvendu Adhikari unveiled a new investment promotion policy on Thursday to accelerate industrialisation and job creation across the state, according to reports by ThePrint, Moneycontrol and Business Standard. The West Bengal Investment Promotion Policy, 2026, has been in effect since May 9, when the Bharatiya Janata Party government took office.
The policy offers financial aid of up to 120 per cent of eligible capital expenditure on plant and machinery for businesses in thrust sectors situated within priority areas. Regular units are capped at 100 per cent assistance, while those in thrust sectors receive up to 110 per cent. The government aims to direct growth toward less-industrialised regions by using an index to identify priority areas.
Incentives for manufacturing include help with State Goods and Services Tax, electricity duty, stamp duty on land, and reimbursement of employer contributions to the Employees' Provident Fund (EPF). For the service sector, the policy includes rental assistance for leased premises. MSMEs will receive 100 per cent reimbursement of EPF contributions for women and transgender workers for 10 years, compared to 50 per cent for men.
Thrust sectors identified include semiconductors, electronics, green hydrogen, electric vehicles, batteries, defence, and shipbuilding. The policy also covers IT, healthcare, tourism, and education. Strategic and mega projects are eligible for custom-made benefits.
Chief Minister Adhikari stated that the previous government had removed the word incentive, but his administration has reintroduced it with a provision of Rs 5,000 crore. He noted that the lack of a land policy contributed to the failure of previous industrial efforts and said the government is studying models from states like Uttar Pradesh and Gujarat.
Industry leaders, including Ambuja Neotia Group Chairman Harshvardhan Neotia, welcomed the move. The Bengal Chamber of Commerce & Industry noted that the creation of a Dedicated Assured Incentive Fund provides relief by ensuring sanctioned incentives are backed by committed funding.