Research on national and sub-national fiscal responses to sports promotion in schools through development of infrastructure is sparse. This paper examines whether the states’ and centre’s sports expenditures have led to improved sports infrastructure as playground facility at the school level in all the states combined. The empirical results suggest that the states should increase their efficiency in public sports spending, which is not only low but also characterised by arbitrariness especially when the implications of the central government’s budgets are seen to have remained insignificant in order to encourage the states to provide the playground facility in the schools.