Finance Minister Nirmala Sitharaman, presenting her ninth consecutive Union Budget in Parliament, announced that India’s capital expenditure for FY27 has been set at ₹12.02 lakh crore, reflecting a strong reforms-driven agenda to boost growth and investment.
Unlike previous years, Budget 2026 places significant emphasis on Part B of the speech, focusing on both short-term and long-term economic goals. Government sources said this section will detail India’s strategic priorities as it deepens its economic journey in the 21st century.
Top priorities highlighted in the budget include job creation, boosting GDP growth, increasing government capital spending on infrastructure, and reforming India’s import-export framework. The government’s share of capital expenditure has risen substantially, compensating for a decade-low contribution from private investment in FY24, according to ICRA.
For taxpayers, the budget is expected to bring potential enhancements such as a higher standard deduction under the new tax regime and the introduction of joint ITR filing for couples. Fiscal consolidation remains a focus, with the government likely prioritizing India’s debt-to-GDP ratio over the traditional fiscal deficit target, projected at 4.2% for FY27.
The budget speech began at 11:00 am in the Lok Sabha, with live coverage available on Sansad TV, Doordarshan, and the official India Budget Portal. The Indian stock market is open for a special live trading session today, with certain restrictions such as no same-day settlement (T+0) and delayed fund availability from prior trades.
Key highlights for labour-intensive MSMEs include a ₹10,000-crore SME growth fund and a ₹2,000-crore Self-Reliant India fund to support micro enterprises. Additionally, the government proposed chemical parks in states, ₹10,000 crore for container manufacturing over five years, and a National Fibre Scheme to promote self-sufficiency.