India

West Bengal Launches 2026 Investment Policy With Up to 120% Capital Assistance and Women‑Focused Incentives

By Shiv Sahay Singh

The Bharatiya Janata Party government in West Bengal announced a new investment promotion policy on Thursday, November 5, 2026. The West Bengal Investment Promotion Policy, 2026, which has been in force since May 9, 2026, offers up to 120 % assistance on the share of fixed capital investment (FCI) made in plant and machinery for thrust‑sector units in priority areas. The policy marks a shift from the previous Trinamool Congress administration, which had revoked industrial incentive schemes in 2025.

Chief Minister Suvendu Adhikari said the new policy aims to avoid the “bad experiences” of past regimes and to provide a stable industrial environment. He added that the state will not adopt a forcible land‑acquisition policy like the Left Front, nor will it impose a flawed land policy that requires industries to purchase land without government support.

Under the “jobs come first” framework, the government will reimburse employer contributions to the Employees’ Provident Fund (EPF) for women and transgender employees in micro, small and medium enterprises (MSMEs) at 100 % for ten years, and at 75 % for women in eligible service units. Large and strategic industrial projects will receive robust support.

The assistance ceiling is 100 % for regular units, 110 % for units in thrust sectors or priority areas, and 120 % for thrust‑sector units located in priority areas. Assistance ends when the ceiling is reached or ten years after commercial production begins, whichever comes first.

Identified thrust sectors include semiconductors and electronics, green hydrogen and waste‑to‑energy, emerging digital technologies, electric vehicles and batteries, defence, and food and marine processing.

The policy also sets a 30‑day timeline for certificates of intent, a 45‑day timeline for certificates of eligibility, and appoints dedicated relationship officers for large projects. A waiver of surcharges on renewable‑energy open access will apply until March 2030. Revived sick and closed industrial units will receive special assistance.

Non‑profits such as hospitals and universities that invest more than ₹100 crore can retain at least a quarter of their capacity fee for ten years, along with additional benefits.

During the launch, the Chief Minister consulted industry leaders about changes observed in the past five months since the BJP came to power. He emphasized that the government will stand by industrialists who cooperate.

Industries and Commerce Minister Tapas Roy and Finance Minister Swapan Dasgupta were present at the event. The government is preparing a GIS‑mapped land inventory for industry and has already handed over land to 33 business groups. It aims to meet the current demand for industrial plots, estimated at around ₹1 lakh crore, in the coming months.