The Punjab Annual Plan 2008-09 was finalized on February 19, 2008 in a meeting that was held between Sardar Prakash Singh Badal, the Chief Minister of Punjab and Shri Montek Singh Ahluwalia, the Deputy Chairman of Planning Commission. The budget for the Annual Plan 2008-09 of Punjab has been fixed at Rs.6210 crores which is inclusive of Central Assistance of Rs.200 crores. This additional central assistance is subject to the proper execution of certain projects with regard to the welfare of the state.

The Chief Minister of Punjab, Shri Badal has clearly stated in the meeting for Annual Plan 2008-09, that special attention should be given to improve the performance of social indicators to catch up with the progress of the state's economy. Such social indicators broadly include development of the status of women and children in the state along with the economic and social development of under privileged and disadvantaged groups. The setting up of international airport at Chandigarh was also praised by the chief Minister of Punjab in the meeting. The major focus areas of the state's development policy, according to the Punjab Chief Minister are removal of intra-regional imbalances, improvement of health care facilities, employment generation, providing proper sanitation care, education facilities, safe drinking water and adequate supply of food.

Other areas, which Shri Badal has emphasized upon, include improvement of employment generation in the state, delivery of public services in the health and education sectors, improvement of energy and social service sector, setting up of IIT and IIM in the state and extension of freight corridor to Wagah. He also said that grant under Indira Awas Yojana should be increased from Rs.15,000 to Rs.50,000.

Deputy Chairman of Planning Commission, Mr. Ahluwalia, has emphasized the agro-marketing activities. He has asked the Government of Punjab to amend APMC and work out strategies for upgrading skills in the agro-marketing activities through power sector reforms, crop diversification, public private collaborations and genetic up-gradation of major crops. The policy of free power supply needs to be checked as it has caused a lot of wastage of ground water.

Apart from appreciating the state's comprehensive efforts in encouraging the participation of private sector in various development acts, Mr. Ahluwalia also showed his utmost appreciation for the state's actions in stimulating the agricultural activities in the state, upgrading the skills and developing the manufacturing sector. The Planning Commission also applauded the state's success in reaching the national standard in terms of growth rate.