3 min readNew DelhiUpdated: Jul 13, 2026 10:08 AM IST
The Centre has approved all 28 infrastructure projects proposed by the Delhi government under the Special Assistance to States for Capital Investment (SASCI) scheme at a total cost of Rs 1,647 crore — a hike of nearly 200% of the amount sanctioned last year. The Centre has also sanctioned an additional Rs 756 crore as an incentive in recognition of Delhi’s efforts to increase capital expenditure from its own resources, officials said on Sunday.
Under the SASCI scheme, managed by the Ministry of Finance, the Centre provides long-term, 50-year interest-free loans to states and union territories to boost capital spending. It also provides incentives tied to reforms and capital investment by states.
Projects linked to Delhi Metro, Barapullah Elevated Corridor, Karawal Nagar Flyover, EV charging stations at Delhi Transport Corporation (DTC) depots, and other road infrastructure works are among the 28 projects that have got a greenlight from the Centre on July 9, according to a statement from the Chief Minister’s Office.
In the previous financial year, the Capital had received Rs 825 crore under this scheme for works under Delhi Metro Phase IV project, improvement of roads and drains and other infrastructure works.
Chief Minister Rekha Gupta said her government had prioritised the scheme from the very beginning and consistently urged the Centre to approve Delhi’s infrastructure projects under SASCI. “As a result, all 28 projects proposed by the Delhi government were approved on July 9. This approval reflects the Centre’s confidence in the Delhi government’s commitment to reforms, financial discipline and its ability to implement development projects effectively,” she said.
SASCI was launched in 2020-21 amid the financial stress caused by the Covid-19 pandemic. Last year, after the BJP government came to power in Delhi after 27 years, the Centre had included Union Territories with legislatures – Delhi, Jammu and Kashmir and Puducherry – under the scheme.
The 2026-27 Union Budget allocated Rs 2 lakh crore as 50-year, interest-free capex loans for states under SASCI. Under the programme, while Rs 75,000 crore is ‘untied’ – or provided without any conditions – the majority is tied to the reform performance of each state across a variety of spheres ranging from power, mining, agriculture, and public finance, among others. As such, the better a state performs on these reform criteria, the more they can avail from the ‘tied’ component of the programme.
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