West Bengal announces new investment policy to promote job-linked growth
The Bharatiya Janata Party government will offer incentives for plant and machinery investments and reimbursements for employer EPF contributions.
The Bharatiya Janata Party (BJP) government in West Bengal announced a new investment promotion policy on Thursday, November 5, 2026, according to The Hindu. The West Bengal Investment Promotion Policy, 2026, which came into effect on May 9, 2026, aims to provide assistance for plant and machinery investments and incentives for industries that employ more women.
Under the new rules, thrust sector units in priority areas can receive up to 120 per cent assistance based on their fixed capital investment in plant and machinery. Regular units are capped at 100 per cent, while units in thrust sectors or priority areas receive 110 per cent. This assistance ends once the ceiling is reached or 10 years after commercial production starts.
Chief Minister Suvendu Adhikari said the policy marks a shift to move the state away from the bad experiences of previous regimes. He stated that the previous Trinamool Congress government had cheated industrialists and that the state must become self-reliant. Adhikari also noted that the government will not use forcible land acquisition like the Left Front or a flawed land policy like the Trinamool Congress.
The policy includes a 'jobs come first' approach, offering 100 per cent reimbursement of employer EPF contributions for women and transgender employees in MSMEs for 10 years. Eligible service units will receive 75 per cent reimbursement for women employees. Identified thrust areas include semiconductors, electronics, green hydrogen, waste-to-energy, digital technologies, EVs, batteries, defence, and food and marine processing.
The government has also established timelines for project approvals, including 30 days for certificates of intent and 45 days for certificates of eligibility. Additionally, a waiver on renewable energy open access surcharges will be available until March 2030.