Union Budget 2026 Reactions Highlights | Unemployment, depreciation of rupee not addressed: Chidambaram

Union Budget 2026 LIVE: Budget 2026-27 may put stress on debt-to-GDP ratio management rather than fiscal deficit

A fiscal deficit of 3-4 per cent is considered comfortable and a desirable target for a growing, developing economy like India, aiming to balance economic expansion with financial stability.

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Union Budget 2026 LIVE: Economic Survey calls for tackling rising digital addiction as it hits academic performance, productivity

Digital addiction is described as addictive behaviour linked to digital devices, including smartphones, the internet, gaming, and social media addiction.

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Union Budget 2026 Expectations | Healthcare sector seeks stronger funding for infrastructure, research and last-mile access

From med-tech to AYUSH to genomics, the sector is aligned in seeking higher investment, stronger research support and policies that expand patient access, affordability and innovation.

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'Hope this budget will move development forward': Uttar Pradesh minister Suresh Kumar Khanna

Uttar Pradesh minister Suresh Kumar Khanna on Sunday said he hopes the Union Budget will accelerate development and generate more employment opportunities.
He also expressed confidence that it will further boost business growth under Prime Minister Narendra Modi's leadership.
Speaking to ANI in Lucknow, Khanna said, "I hope this budget will move the development forward. The budget will also include provisions to create as many jobs as possible. Under the guidance of PM Modi, the country became the 4th largest economy... I hope that businesses will increase."

Union Budget 2026 LIVE: Finance Minister Nirmala Sitharaman leaves from her official residence. She will be presenting her ninth straight Budget later today.

Union Finance Minister Nirmala Sitharaman, along with MoS Pankaj Chaudhary departed from their residence for Kartavya Bhavan ahead of the presentation of Union Budget 2026. The North Block houses the Ministry of Finance.

The headquarters of Ministry of Finance, which was earlier situated at North Block has now been shifted to Kartavya Bhavan at Janpath.
Sitharaman is set to present her ninth consecutive Union Budget, which will see her equal former Finance Minister P. Chidambaram's record and surpass that of Pranab Mukherjee. Former Prime Minister Morarji Desai continues to hold the record for presenting the most Union Budgets in independent India.

Union Budget 2026 LIVE: Finance Minister Nirmala Sitharaman arrives at Kartavya Bhawan ahead of Union Budget

Union Budget 2026 LIVE | 'Telangana will get its share of allocation': BJP Spokesperson Prakash Reddy on Budget expectations

 BJP Spokesperson Prakash Reddy expects Telangana to receive its fair share of allocation in the Union Budget 2026.
The state is seeking funding support for key projects such as the Regional Ring Road, Hyderabad Metro Rail Phase-II, and Musi River rejuvenation.

Union Budget 2026 LIVE | Finance Minister Nirmala Sitharaman heads to Rashtrapati Bhawan to call on President Droupadi Murmu before presenting her ninth Union Budget

Union Finance Minister Nirmala Sitharaman on Sunday left from Kartavya Bhavan for Rashtrapati Bhavan carrying her trademark 'bahi-khata', a tablet wrapped in a red-coloured cloth bearing a golden-coloured national emblem on it.

Union Budget 2026 LIVE | Nifty, Sensex open flat in special budget session, Experts say focus can be on relief for tariff impacted sectors

Domestic stock markets opened largely flat on Sunday. The Nifty 50 index opened at 25,333.75, registering a marginal gain of 13.10 points or 0.05 per cent, while the BSE Sensex opened at 82,445.97, up by 176.19 points or 0.21 per cent.
This marks only the second time in the history of Indian stock markets that trading is taking place on a weekend for a special budget session. Earlier, markets were opened on a weekend in 1999, when the Union Budget was presented on February 27, a Saturday.

Union Budget 2026 LIVE | Finance Minister Nirmala Sitharaman calls on President Droupadi Murmu before presenting her ninth consecutive Union Budget

Union Budget 2026 LIVE | 'Keen to see what benefits Centre gives to poll-bound Kerala': Shashi Tharoor ahead of Union Budget presentation

Congress MP Shashi Tharoor on Sunday said that he is looking forward to announcements for Kerala in the Union Budget 2026-27 as the state is set to hold Assembly elections later this year.
Speaking to reporters ahead of the Budget presentation, Tharoor flagged the issue of unemployment, saying, "jobless growth does not help anyone."
He said, "Looking forward to hearing what the Finance Minister has to tell us. The Economic Survey presents good economic growth, but a problem for young people in this country is whether the growth will be accompanied by jobs. Jobless growth does not help anyone. We are anxious to see what kind of schemes they have in mind. In Kerala, with elections coming up, we are keen to see what benefits the Central government might give us. Until the Budget is presented, it is difficult to talk."

Union Budget 2026 LIVE | Finance Minister Nirmala Sitharaman and MoS Finance Pankaj Chaudhary, along with their team, arrive at the Parliament.

Union Budget 2026 LIVE |'Budget 2026-27 will be another step towards Viksit Bharat': Union Minister Gajendra Singh Shekhawat

Union Budget 2026 LIVE | Cabinet meeting underway ahead of FM's budget speech at 11am

Union Budget 2026 LIVE | Cabinet approves Union Budget 2026-27

Union Budget 2026 LIVE | A skeptical Opposition ahead of FM's presentation

Ahead of presentation of Budget by FM Sitharaman, Samajwadi Party chief Akhilesh Yadav appeared to take a sardonic tone and said the party does not have a lot of expectations. "When there is no hope from the government itself, what expectations can one have from its budget?”

Tamil Nadu CM also tweeted, saying, "in addition to the usual Thirukkural, will the following announcements be made for Tamil Nadu, keeping the elections in mind".

TMC MP Kalyan Banerjee said, “What will they do in the Budget? They have already exhausted the nation’s finances. Now, PM Modi is pretending to be a saint after selling the country.” (PTI,ANI)

Union Budget 2026 LIVE | This Budget is for Viksit Bharat, prepared keeping in mind goal of 2047: PM Modi

Union Budget 2026 LIVE | FM Sitharaman begins her speech to present Budget in Lok Sabha

Union Budget 2026 LIVE | Moderate inflation and steady growth in last 12 years, says FM Sitharaman; Our govt has chosen reforms over rhetoric

Moderate inflation and steady growth in last 12 years, says FM Sitharaman.

Union Budget 2026 LIVE | India must remain integrated with international market: FM Sitharaman

Union Budget 2026 LIVE | Finance Minister lays 16th Finance Commission report for tax revenue devolution between Centre, states for 2026-2031 in Lok Sabha

Union Budget 2026 LIVE | Our govt chose reforms over rhetoric, driven by 'Yuva Shakti': FM Sitharaman

Union Budget 2026 LIVE | India will continue to take steps towards Viksit Bharat: FM Sitharaman

Union Budget 2026 LIVE | We will ensure that dividends of growth reach every farmer, scheduled caste, scheduled tribe, and youth: Sitharaman

Our Kartavya is to accelerate and sustain economic growth, fulfil aspirations of people: FM Sitharaman.

Our Kartavya is to ensure every family, community, and sector has access to resources, amenities and opportunities: Sitharaman

FM announces establishment of rare-earth corridor for Kerala, Tamil Nadu, Odisha & Andhra Pradesh

Sabka Sath, Sabka Vikas' third Kartavya of government, says FM Sitharaman

Union Budget 2026 LIVE | FM announces Mahatma Gandhi Gram Swaraj Initiative

Propose Mahatma Gandhi Gram Swaraj initiative to strengthen Khadi handloom: Sitharaman in Budget FY'27.

Union Budget 2026 LIVE | FM proposes interventions in 6 sectors, including manufacturing, strategic and frontier sectors, healthcare and advanced technology.

Union Budget 2026 LIVE | FM proposes Rs 10,000 crore investment in biopharma over next 5 years

Union Finance Minister Nirmala Sitharaman says,"...To develop India as a global bio-pharma manufacturing hub, I propose Bio Pharma Shakti with an outlay of Rs 10,000 crores over the next 5 years. This will build an ecosystem for domestic productions of biologics and biosimilars."

Union Budget 2026 LIVE | FM proposes scheme to revive 200 legacy industrial clusters in FY27 budget

Union Budget 2026 LIVE | We will continue to develop infrastructure in Tier 2, Tier 3 cities, even temple towns: FM Sitharaman.

Union Budget 2026 LIVE | FM proposes incentives for indigenous manufacturing of sea planes, Rs 20,000 crore to develop waterways in next 5 years

Union Budget 2026 LIVE | FM proposes developing 7 high speed corridors between cities as growth connectors.

Union Budget 2026 LIVE | Close to 25 cr people have come out of multi-dimensional poverty: FM Sitharaman

Union Budget 2026 LIVE | FM proposes raising investment limit for individual PIO from 5 pc to 10 pc

Person of Indian Origin (PIO) permitted to invest in equity instruments, listed indian companies through Portfolio Investment Scheme, said FM SItharaman. She also proposed raising investment limit for individual PIO from 5 pc to 10 pc.

Union Budget 2026 LIVE | Govt to set up one girls' hostel in every district of country: FM Sitharaman

Union Budget 2026 LIVE | FM proposes setting up 3 new All India Institute of Ayurveda

Union Budget 2026 LIVE | Telescope infrastructure to be upgraded to promote astrophysics and astronomy: FM

We will develop ecologically sustainable trails in Himachal Pradesh, Utttarakhand and Jammu and Kashmir: Sitharaman.

Union Budget 2026 LIVE | FM Sitharaman proposes to develop 'Bharat Vistaar', multi-lingual AI agri tool

Union Budget 2026 LIVE | Govt to support high-value crops such as coconut, sandalwood, walnuts

Govt proposes coconut promotion scheme to increase production, productivity. Govt to support high-value crops such as coconut, sandalwood, walnuts

FM announces development of East Coast industrial corridor

Union Budget 2026 LIVE | New Income Tax Act comes into effect from April 1: FM

Income Tax Act, 2025, to be implemented from April 1; rules and tax returns forms to be notified shortly: Sitharaman. "I propose to extend time available for revising returns from 31st December to up to 31st March with the payment of a nominal fee. I also propose to stagger the timeline for filing of tax returns - individuals with ITR 1 and ITR 2 will continue to file till 31st July and non-audit business cases or trust are proposed to be allowed time till 31st August."

Union Budget 2026 LIVE | Accident related claims to be exempted from Income tax: FM

Union Budget 2026 LIVE | Govt proposes to lower debt-to-GDP ratio to 55.6 pc per cent in FY27, from 56.1 pc in current fiscal: Sitharaman.

Union Budget 2026 LIVE | Fiscal deficit pegged at 4.3 pc of GDP in FY'27, lower than 4.4 pc in FY'26: Sitharaman

Union Budget 2026 LIVE | Govt provides Rs 1.4 lakh crore as tax devolution to states in FY27: FM

Union Budget 2026 LIVE | FM proposes rule-based automated process for small taxpayers in FY27 Budget

FM proposes a six-month foreign asset disclosure scheme for small taxpayers like students, tech professionals and relocated NRIs.

Union Budget 2026 LIVE | TCS on health education cut to 2%

Govt proposes reduction in TCS rate for pursuing education and medical education under liberalised remittance scheme from 5 pc to 2 pc

Union Budget 2026 LIVE | 'Tax holiday' till 2047 for cloud services: FM

Budget proposes tax holiday till 2047 to foreign companies that provide cloud services to customers globally by using data centres in India: FM

Union Budget 2026 LIVE | FM proposes to exempt Minimum Alternate Tax for non-residents who pay tax on presumptive basis

Union Budget 2026 LIVE | Exemption of custom duty for 17 drugs, duty cut on cancer medicine: FM

Union Budget 2026 LIVE | Sensex crashes over 2,000 points as FM's speech ends

Union Budget 2026 LIVE | Speech woefully short of hype, gave no idea of budgetary allocations: Congress

Union Budget 2026 LIVE | Customs duty exemption on video games manufacturing parts removed from April 1: Sitharaman

Sensex, Nifty tumble as Budget proposes to raise Securities Transaction Tax to 0.05 pc on commodity futures

Stock market benchmark indices Sensex and Nifty tumbled on Sunday afternoon trade after the Budget proposed to raise Securities Transaction Tax to 0.05 per cent on commodity futures from 0.02 per cent.

The government will tax buyback proceeds for all types of shareholders as capital gains, Finance Minister Nirmala Sitharaman said on Sunday.

After fluctuating in early trade, the 30-share BSE Sensex later bounced back but pared all gains amid the Budget presentation.

It later plunged 2,370.36 points, or 2.88 per cent, to slip below the 80,000-mark to 79,899.42 during the afternoon trade. The 50-share NSE Nifty tanked 748.9 points, or 2.95 per cent, to 24,571.75.

From the 30 Sensex firms, Bharat Electronics tanked 6.50 per cent. State Bank of India, HCL Tech, Tata Steel, Asian Paints, and Eternal were also among the laggards.

'Focus on AI as a force multiplier for governance and driving sustainable economic growth is a welcome move'

Shantanu Rooj, Founder and CEO, TeamLease Edtech: The focus on AI as a force multiplier for governance and driving sustainable economic growth is a welcome move. AI is taking center stage in Education and Employability. The talent pool and workforce will benefit through AI skills to enhance productivity and quality. Higher education and AI are inseparable. Students must be prepared for the workplace of the future by acquiring degrees that are work integrated and carry AI skills

'Government’s Yuva Shakti budget frames a clear operating system for a Viksit Bharat'

Kartik Naryan, CEO- Jobs Marketplace, Apna.co, "The government’s Yuva Shakti budget frames a clear operating system for a Viksit Bharat. The focus on growth productivity and aspiration builds the hard scaffolding required to formalise India’s workforce at scale.

At Apna we see AI as the real force multiplier in this transition. Embedding AI into governance and employment systems will go beyond improving ease of doing business. It will close skill gaps for millions at the entry level and match intent with opportunity in real time.

Aligning Sabka Saath Sabka Vishwas with market demand through technology is how India converts demography into productivity. This is how we move from potential to performance and position India as the talent capital of the world."

'Clear signal to industry to step up and partner in nation-building'

Mr Rikant Pittie, CEO and Co-Founder of EaseMyTrip: The Finance Minister’s emphasis on a supportive ecosystem is a clear signal to industry to step up and partner in nation-building. To deliver on the three Kartavyas, we must collectively back reforms, strengthen our financial systems, and embrace technologies like AI with speed and scale. If government and industry move in sync, India can unlock its full potential and create sustainable, inclusive growth.” 

'The inclusion of Ayush centres reflects a deliberate move to bring traditional systems into the core of healthcare delivery'

“India has been a trusted destination for medical travellers from the United States, Europe, the Middle East and South Asia for over a decade now, anchored in clinical excellence and accessible care. Budget 2026 advances this legacy through the proposal to create five regional medical hubs that integrate treatment, education and research within a single ecosystem. The inclusion of Ayush centres reflects a deliberate move to bring traditional systems into the core of healthcare delivery especially with the burden of non-communicable diseases growing many folds. When seen alongside investments in new Ayurveda institutes, upgraded quality and certification infrastructure, and the strengthening of the WHO Global Centre for Traditional Medicine in Jamnagar, this budget has the potential to elevate India’s global standing as a destination for both modern medicine and scientifically validated traditional healthcare.”- Dr. Issac Mathai, Founder Chairman and Medical Director of SOUKYA International Holistic Health Centre

Union Budget 2026 Reactions Live: Govt plan to upskill ten thousand tourist guide much needed intervention in service sector productivity

“The government’s plan to upskill ten thousand tourist guides across twenty key destinations is a sharp intervention in service sector productivity. Tourism contributes about 5.2 percent to GDP, yet outcomes are constrained by gaps in storytelling consistency and on ground visitor support. These gaps show up in lower repeat visits and limited spend per traveller, " said Kartik Naryan, CEO- Jobs Marketplace, Apna.co.

“The government’s textile roadmap, from Mega Parks in challenge mode to the Mahatma Gandhi Gram Samaj initiative, is a well thought through intervention in India’s labour economy. It recognises that scale, clustering and skills must move together if manufacturing is to deliver jobs with dignity and income growth. By linking this push with the Samarth 2.0 skilling framework, the focus shifts from headline job creation to building a workforce that can compete in global supply chains. Modernised clusters and integrated production systems reduce fragmentation, improve reliability and raise productivity," said Kartik Naryan, CEO- Jobs Marketplace, Apna.co.

This transition will formalise millions of livelihoods and give Yuva Shakti a clear pathway into stable manufacturing careers. Done right, it positions textiles not as a sunset industry but as a competitive pillar of India’s next growth phase.”

Improving the first mile of the visitor experience directly strengthens India’s soft power and ease of travel. Professionalising guides creates a visible quality upgrade at the point where impressions are formed and memories are made.Embedding modern translation tools and digital hospitality platforms into this training, delivered in partnership with IIMs through a blended model, allows guides to serve a global multilingual audience with confidence and scale. This converts Atithi Devo Bhava from a sentiment into a system and creates a clear pathway to formal higher value employment for Yuva Shakti in tourism.”

“Today’s announcement of a ₹40,000 crore surge for the Semiconductor Mission 2.0 and the accelerated development of 7 Mega Textile Parks (PM MITRA) signals a bold new chapter for Indian industry. By scaling up the high-tech chip ecosystem and rejuvenating the labor-intensive textile sector-where job creation density is at its highest, these investments ensure India can fully honor the 'zero-duty' benefits of the recently signed FTAs with the EU, UAE, Australia, and New Zealand," said Balasubramanian A, Senior Vice President, TeamLease Services.

"The FM recognised that the 21st century is the era of technology. Youth aspirations of building careers in the new economy require thrust on campus to corporate transition through work-linked degree programs that will enable students to develop career pathways that combine high quality education and real-world work experience," said Shantanu Rooj, Founder and CEO, TeamLease Edtech. 

 “The government’s textile roadmap, from Mega Parks in challenge mode to the Mahatma Gandhi Gram Samaj initiative, is a well thought through intervention in India’s labour economy. It recognises that scale, clustering and skills must move together if manufacturing is to deliver jobs with dignity and income growth. By linking this push with the Samarth 2.0 skilling framework, the focus shifts from headline job creation to building a workforce that can compete in global supply chains. Modernised clusters and integrated production systems reduce fragmentation, improve reliability and raise productivity. This transition will formalise millions of livelihoods and give Yuva Shakti a clear pathway into stable manufacturing careers. Done right, it positions textiles not as a sunset industry but as a competitive pillar of India’s next growth phase,” said Kartik Narayan, CEO- Jobs Marketplace, Apna.co.

Union Budget 2026 Reactions Live:

Budget 2026-27: Indirectly empowers GCCs through strategic IT Tax Relief, 2047 data centre holidays

India's Union Budget 2026-27, presented today by Finance Minister Nirmala Sitharaman, contains no direct mentions or specific provisions targeting Global Capability Centres (GCCs). GCCs must therefore rely on indirect benefits from broader reforms in taxation, infrastructure, skilling, and services promotion, which align with your expertise in GCC strategy and cybersecurity.

Tax relief for IT services

IT services—including software development, BPO, KPO, and contract R&D—are grouped under a unified "Information Technology Services" category with a 15.5% safe harbour margin and an increased threshold of ₹2,000 crore (up from ₹300 crore). Unilateral Advance Pricing Agreements (APAs) for IT firms will be fast-tracked to conclude within 2 years (extendable by 6 months), easing transfer pricing disputes common in GCCs.

Data centres and infrastructure boost

A tax holiday until 2047 is offered to foreign companies using Indian data centres for global cloud services (via Indian resellers), alongside a 15% safe harbour for related resident entities—directly supporting GCCs' AI, data processing, and IP centralization needs. Public capex rises to ₹12.2 lakh crore, with Tier-II/III city focus via City Economic Regions (₹5,000 crore per region over 5 years), aiding GCC expansion beyond metros.

Skilling and services growth

A High-Powered Committee will prioritize services sub-sectors (including IT) for jobs, exports, and AI upskilling, targeting 10% global services share by 2047. Measures like AVGC labs in schools/colleges and new design institutes indirectly bolster GCC talent pipelines for emerging tech roles you often advise on.

Implications for GCCs

These enhancements reduce compliance burdens, attract FDI (100% automatic route unchanged), and promote non-metro hubs, potentially accelerating GCC revenue toward $100-110 billion and 2.5-2.8 million jobs.[ from prior context] No new concessional taxes or PE clarifications emerged, so advocacy for a National GCC Policy continues via industry channels.

Budget 2026 slashes TCS and expands Multimodal Connectivity to Supercharge Indian Tourism

One of the most significant measures welcomed by the travel industry is the reduction in Tax Collected at Source (TCS) on overseas tour packages to a flat 2%, easing the upfront financial burden on travellers and encouraging outbound travel. This move is expected to improve booking sentiment and enhance affordability for Indian travellers planning international trips.

The budget also places strong emphasis on connectivity and infrastructure, announcing new air routes, seven high-speed rail corridors, expanded inland waterways, and incentives for seaplane operations to improve access to remote and scenic destinations. These initiatives are expected to strengthen both domestic and inbound tourism by reducing travel time and improving last-mile connectivity," said Rikant Pittie, CEO and Co-Founder of EaseMyTrip.

Union Budget 2026 outlines a decisive roadmap centred on farmers, youth, and MSMEs, says Nitin Gadkari, Union Minister of Toad and Transport

Union Budget 2026 reinforces policy stability for renewable energy and manufacturing: Emmvee

“Union Budget 2026 reinforces policy stability for renewable energy and manufacturing. The focus is clearly shifting from incentives to execution, scale, and quality. For companies that have invested early in domestic solar manufacturing, this consistency provides long-term confidence and greater visibility for planning and expansion. With the policy direction firmly in place, the emphasis now is on operational excellence, cost competitiveness, and building depth across the value chain. This approach strengthens India’s position as a credible global manufacturing hub for clean energy solutions and supports sustainable, long-term growth” said D V Manjunatha Donthi, CMD, Emmvee Photovoltaic Power Limited

'Budget 2026 will further strengthen healthcare with regional medical hubs and integration of traditional medicine'

“India has been a trusted destination for medical travellers from the United States, Europe, the Middle East and South Asia for over a decade now, anchored in clinical excellence and accessible care. Budget 2026 advances this legacy through the proposal to create five regional medical hubs that integrate treatment, education and research within a single ecosystem. The inclusion of Ayush centres reflects a deliberate move to bring traditional systems into the core of healthcare delivery especially with the burden of non-communicable diseases growing many folds. When seen alongside investments in new Ayurveda institutes, upgraded quality and certification infrastructure, and the strengthening of the WHO Global Centre for Traditional Medicine in Jamnagar, this budget has the potential to elevate India’s global standing as a destination for both modern medicine and scientifically validated traditional healthcare” said Dr. Issac Mathai, Founder Chairman and Medical Director of SOUKYA International Holistic Health Centre

Centre to support states in setting up five hubs for medical tourism, says FM Sitharaman

"The Centre’s push to create five medical tourism hubs is a strong step toward positioning India as a global healthcare destination. As a travel-tech player, we see this as a huge opportunity for medical tourism," said Rikant Pittie, CEO and Co-Founder of EaseMyTrip.

Budget 2026: Major relief for healthcare and personal imports as market trading and selected consumer goods turn costlier

"Budget 2026–27 marks a significant moment for India’s agriculture and rural economy by combining fiscal discipline with sustained public investment. By containing the fiscal deficit at 4.4% of GDP while continuing high capital expenditure, the government has created policy certainty for long-term schemes supporting irrigation, renewable energy, and rural infrastructure.

The renewed focus on increasing farmer incomes through productivity enhancement, technology adoption, and water efficiency is particularly important for a sector that contributes nearly 18% of India’s GDP and employs over 45% of the workforce. Efficient irrigation remains one of the strongest levers to boost farm incomes, especially in water-stressed regions where groundwater depletion and erratic rainfall have increased production risks.

Initiatives such as Bharat Vistar, solarisation of farm equipment, micro-irrigation, and energy-efficient farm infrastructure have already shown tangible benefits by lowering input costs and improving reliability of water access. Field experience demonstrates that efficient pumping combined with drip or sprinkler systems can reduce water consumption by 30–40% while stabilizing crop yields, directly improving farm economics.

The Budget also strengthens access to finance through priority-sector lending, credit guarantees, and MSME liquidity, enabling farmers and cooperatives to adopt modern irrigation systems and move away from diesel-dependent, inefficient practices. Combined with digital tools and skill development programs for over a lakh caregivers and allied professionals, these measures will modernize farming, improve productivity, and enhance resilience.

Overall, Budget 2026–27 positions agriculture as a strategic engine of growth by treating irrigation efficiency, technology adoption, and rural infrastructure as core investments rather than discretionary spending. By aligning fiscal prudence with farmer-centric initiatives, the government is creating the foundation for sustainable income growth, water security, and a resilient, future-ready agricultural sector in India," said Vivek Gupta, Managing Director of Oswal Pumps.

Budget has laid clear focus on the development of MSMEs: Vimal Nadar

"Budget has laid clear focus on the development of MSMEs through the creation of SME growth fund in addition to other measures. This will aid in the proliferation of small and medium enterprises across different sectors, support spatial development of sectors while creating real estate opportunities," said Vimal Nadar, National Director & Head, Research at Colliers India

Union Budget Reactions Live | PM Modi hails budget presented by FM Sitharaman

Union Budget Reactions Live | Budget gives fresh flight to dreams of youth: PM Modi

Union Budget Reactions Live | Highway for opportunities, Nari shakti mission reflected: PM Modi

Budget is historic; reflects empowered presence of nation's feminine strength: PM Modi.

Union Budget Reactions Live | This year's Budget is foundation for our journey towards Viksit Bharat by 2047: PM Modi

Union Budget Reactions Live | This year's budget will give India's 'reform express' new energy and momentum: PM Modi.

Union Budget Reactions Live | Union Budget reflects aspirations of 140 crore Indians; strengthens reform journey, charts clear roadmap for Viksit Bharat: PM Modi

Union Budget Reactions Live | Budget has firm steps to promote tourism in north-eastern region: PM Modi

Budget 2026: A High-Tech Blueprint for Viksit Bharat—AI Missions, Rs 12,000 Cr MSME Funds, and NBFC Restructuring to Power Fintech Innovation

"Union Budget 2026, presented by Finance Minister Nirmala Sitharaman, marks a transformative milestone for India’s innovation ecosystem. We applaud the emphasis on capacity-building AI missions targeting 25 crore citizens, alongside the National Quantum Mission, R&D funds and initiatives to turn India into a data-centre hub. These initiatives will accelerate AI adoption in fintech, enhancing use of advanced technology for efficient debt recovery. The six strategic interventions scaling manufacturing, championing MSMEs growth via ₹10,000 crore growth fund and ₹2,000 crore Self-Reliant India Fund, infrastructure acceleration, and NBFC restructuring into stronger entities directly bolster financial inclusion. Restructured NBFCs will improve lending scale, boost efficiencies and create synergies for fintech platforms like ours in managing NPAs. The high-level banking committee for Viksit Bharat ensures policy stability and sets the roadmap for next level of reforms. This budget cultivates a resilient economy, enabling Credgenics to deploy advanced AI solutions for a healthy financial services ecosystem. It positions India as a global tech leader, driving sustainable growth for MSMEs, NBFCs, and fintech innovators," said Rishabh Goel, Founder and CEO, Credgenics.

"Today’s budget signals a renewed emphasis on the services sector as a cornerstone of a Viksit Bharat, highlighted by the establishment of the High-Powered ‘Education to Employment and Enterprise’ Standing Committee. This committee will bridge the gap between classroom and career, ensuring our youth are future-ready to capture a 10% share of the global services market by 2047 up from <5% presently. This roadmap has the potential to drive a significant volume of job creation in the coming years, fueled by a surge in Global Capability Centres (GCCs) and digital exports," said Balasubramanian A, Senior Vice President, TeamLease Services.
"By this, the budget ensures that our trade deals with the EU, UAE, Oman, UK, New Zealand, and Australia translate directly into millions of high-value jobs for a skilled India on our road to Viksit Bharat," noted Balasubramanian A

'From 1.5 lakh caregivers to Rs 10,000 Cr Biopharma Hubs: Budget 2026 outlays strategic plan toward global medical leadership'

“The Union Budget 2026–27 is a bold step toward transforming India into a global healthcare talent powerhouse. By combining a massive expansion in medical seats with targeted skilling for over a lakh caregivers and allied professionals, the government is not just building hospitals it is building the human foundation of a resilient, Viksit Bharat that can serve both India and the world.

The Budget’s proposal to add 10,000 medical seats in the current year and 75,000 seats over the next five years directly addresses the growing demand for doctors, specialists, and skilled healthcare workers. Alongside this, focused skilling initiatives for caregivers and allied professionals will strengthen frontline healthcare delivery and improve patient outcomes across urban and rural India. Equally important is the government’s push to scale manufacturing across seven strategic and frontier sectors through initiatives such as Biopharma Shakti. This will strengthen domestic capabilities in biologics, biosimilars, and advanced therapies, while reducing import dependence. For the MedTech industry, this creates a multiplier effect driving demand for diagnostics, medical devices, digital health platforms, and AI-enabled clinical tools.

Overall, these measures will benefit the healthcare industry as a whole by improving talent availability, strengthening supply chains, accelerating innovation, and enabling wider adoption of technology. Budget 2026–27 positions healthcare as both a national priority and a long-term growth engine, paving the way for India to emerge as a global leader in healthcare talent, MedTech innovation, and affordable quality care,” said Anuj Chahal, Founder and CEO of Maverick Simulation Solutions.

"Delighted to see the budget acknowledging the mental healthcare ecosystem in India and announcing new national-level mental healthcare institutions aimed at improving care delivery, training and research. It’s a strong start and will go a long way in developing the mental healthcare infrastructure in our country. I’m glad we are also doubling down in pharma manufacturing and expanding medical seats to address doctor shortages — both much needed steps to improve access for our billion strong population and strengthen India’s position as a global healthcare leader,” said Abhineet Kumar, CEO & Founder, Rocket Health.

'A growth-focused, simplification-heavy budget with strong welfare and infra underpinnings'

The 2026-27 Union Budget, delivered from Kartavya Bhavan under the guiding principles of the three Kartavyas, delivers a robust, reform-oriented roadmap for Viksit Bharat. It sustains high capex momentum (up to ₹12.2 lakh crore), accelerates manufacturing in frontier sectors (e.g., ISM 2.0 with ₹40,000 crore, BioPharma Shakti at ₹10,000 crore), rejuvenates legacy clusters, champions MSMEs through equity funds and liquidity tweaks, and pushes infrastructure with high-speed rail corridors, waterways, and city economic regions.

Specifically for general insurance industry, the compassionate exemption of TDS (and full tax) on Motor Accident Claims Tribunal interest awards stands out as a victim-friendly relief, ensuring faster, untaxed access to compensation for those in distress— a thoughtful step toward ease of living.

A particularly positive move for investors and corporates is the revised taxation of share buybacks: proceeds are now taxed as capital gains for all shareholders, addressing past anomalies and aligning buybacks more equitably with other equity distributions. This promotes fairness for minority shareholders while curbing potential tax arbitrage—corporate promoters face an effective 22% rate, non-corporate at 30% via additional levies. Overall, it streamlines corporate capital allocation, reduces differential treatment, and could encourage more transparent shareholder returns without excessive complexity.

On the flip side, the hike in Securities Transaction Tax (STT) on futures and options—futures to 0.05% (from 0.02%) and options premium/exercise to 0.15% (from 0.1%/0.125%)—is a negative for active traders and the derivatives ecosystem. It raises transaction costs, potentially curbing speculative volumes, impacting liquidity in F&O, and contributing to immediate market pressure (e.g., Sensex/Nifty drops post-announcement). While aimed at moderating excessive derivatives activity and boosting revenue, it could dampen retail participation in a bull phase and affect broking revenues short-term.

Net-net, this is a growth-focused, simplification-heavy budget with strong welfare and infra underpinnings—balanced by prudent revenue measures. The buyback tweak is a clear win for equity market health, while the STT increase tempers enthusiasm in high-frequency trading circles. Execution and market adaptation will define its success in the coming year,” said Ashwani Dhanawat, Executive Director and Chief Investment Officer, Shriram General Insurance.

"The Union Budget 2026 lays a strong foundation for India’s next phase of digital and industrial growth. While global developments such as US tariffs are being monitored, the government is signaling that India is prepared to think beyond dependency on any single market, expanding opportunities in Europe, and improving ease of doing business. Initiatives across healthcare, semiconductor manufacturing under the GaN-focused Semiconductor 2.0 plan, and the expansion of Digital Public Infrastructure (DPI) into agriculture, compliance, taxation, infrastructure, and healthcare reflect India’s intent to build globally competitive and resilient ecosystems. With this rapid digital and industrial growth, cybersecurity is no longer optional but essential, creating an urgent need for enterprises to adopt advanced solutions to protect critical data and enable trusted, scalable growth," said Deep Chanda, CEO at Ampcus Cyber

“The Union Budget 2026 outlines a clear roadmap to strengthen India’s financial ecosystem and support growth through a well-structured reform agenda. With the government aiming to achieve robust GDP growth of around 6.8–7.2% and maintain fiscal discipline while accelerating investment, reforms in financial institutions are central to this vision.

The proposal to restructure PSU NBFCs such as Power Finance Corporation and Rural Electrification Corporation will help improve operational efficiency and capital utilisation, enabling them to support critical sectors like infrastructure, energy transition and rural electrification more effectively. These moves will enhance credit flow in long-gestation sectors that are vital for India’s development. In addition, the Budget’s focus on expanding capital expenditure to a record Rs 12.2 lakh crore highlights the government’s commitment to growth-led public investment.

The announcement to set up a high-level committee on banking and financial sector reforms is a significant step toward aligning the financial ecosystem, including NBFCs and banks, with India’s long-term goals. This committee can help refine regulatory frameworks, improve risk management, and ensure that NBFCs play a complementary role in credit delivery alongside banks. Overall, these measures will strengthen credit access for MSMEs, infrastructure, and underserved markets, making NBFCs effective partners in India’s journey towards a developed and inclusive economy,” said Kapil Garg, MD of Mufin Green Finance

Union Budget Reactions Live | FM Sitharaman addresses media post budget presentation

Union Budget Reactions Live | Emerging cities to get Rs 1000 crore per year: FM

Union Budget Reactions Live | Rare-earth corridor to reduce dependence on external sources: FM

Union Budget Reactions Live | Budgeted capex of Rs 12.2 lakh cr in FY27 is 4.4 pc of GDP, highest-ever: Finance Minister Nirmala Sitharaman at post-budget conference

Union Budget Reactions Live | STT hike in F&O intended to discourage speculative tendencies, handle systemic risk in derivatives market: Revenue Secretary

Union Budget Reactions Live | FM advocates for East coast industrial & rare earth corridors, says have covered both poll-bound and other states in Budget speech

'Rs 12.2 lakh crore infrastructure leap and urban CER reforms pave road to Viksit Bharat 2047'

"The Union Budget 2026 provides a strong and credible roadmap for India’s next phase of growth, led by a sharp focus on infrastructure, urban development, and financial reforms. The government’s decision to raise public capital expenditure to ₹12.2 lakh crore in FY27, a 9% increase over FY26, will play a critical role in accelerating project execution and crowding in private investment.

The creation of the Infrastructure Risk Guarantee Fund, along with the rollout of seven high-speed rail corridors and the operationalisation of 20 new national waterways over the next five years, will significantly enhance connectivity, reduce logistics costs, and improve the overall efficiency of the real estate and infrastructure ecosystem.

Urban development receives a sustained boost with an allocation of ₹5,000 crore per year for five years for City Economic Regions, alongside a continued focus on Tier-2 and Tier-3 cities as emerging growth centres. These measures will enable planned urbanisation, support civic infrastructure, and unlock housing demand across new geographies.

Further, accelerated recycling of CPSE real estate assets through dedicated REITs and continued emphasis on InvITs will deepen capital markets, improve liquidity, and strengthen investor confidence across the sector.

On the consumption side, income tax reforms— including no tax liability up to ₹12 lakh under the new tax regime, rationalised TDS and TCS rates, and reduced TCS on overseas tour packages to 2%—will enhance disposable incomes and ease compliance, providing indirect yet meaningful support to housing demand.

Overall, the Budget aligns strongly with the long-term vision of Viksit Bharat by 2047 and lays the foundation for sustainable, inclusive, and future-ready economic growth,” said Pradeep Aggarwal, Founder & Chairman, Signature Global (India) Ltd.

Union Budget 2026 reaction: Energy & Agriculture sector

"Budget 2026–27 marks a significant moment for India’s agriculture and rural economy by combining fiscal discipline with sustained public investment. By containing the fiscal deficit at 4.4% of GDP while continuing high capital expenditure, the government has created policy certainty for long-term schemes supporting irrigation, renewable energy, and rural infrastructure.

The renewed focus on increasing farmer incomes through productivity enhancement, technology adoption, and water efficiency is particularly important for a sector that contributes nearly 18% of India’s GDP and employs over 45% of the workforce. Efficient irrigation remains one of the strongest levers to boost farm incomes, especially in water-stressed regions where groundwater depletion and erratic rainfall have increased production risks.

Initiatives such as Bharat Vistar, solarisation of farm equipment, micro-irrigation, and energy-efficient farm infrastructure have already shown tangible benefits by lowering input costs and improving reliability of water access. Field experience demonstrates that efficient pumping combined with drip or sprinkler systems can reduce water consumption by 30–40% while stabilizing crop yields, directly improving farm economics.

The Budget also strengthens access to finance through priority-sector lending, credit guarantees, and MSME liquidity, enabling farmers and cooperatives to adopt modern irrigation systems and move away from diesel-dependent, inefficient practices. Combined with digital tools and skill development programs for over a lakh caregivers and allied professionals, these measures will modernize farming, improve productivity, and enhance resilience.

Overall, Budget 2026–27 positions agriculture as a strategic engine of growth by treating irrigation efficiency, technology adoption, and rural infrastructure as core investments rather than discretionary spending. By aligning fiscal prudence with farmer-centric initiatives, the government is creating the foundation for sustainable income growth, water security, and a resilient, future-ready agricultural sector in India," said Vivek Gupta, Managing Director of Oswal Pumps.

"The Budget’s support for the agriculture sector rightly focuses on high-growth sub-sectors such as fisheries and livestock. Initiatives include Amrit Sarovars with 500 related reservoirs, fishery and livestock FPOs, and integrated livestock value chain promotion programmes. High-value crops such as coconut, sandalwood, cashew, and almonds are being specifically targeted, with high-density cultivation planned for almonds, walnuts, and pine nuts. Indian cashew and cocoa are set to be developed into global brands by 2030, while coconut farmers will receive assistance for plantation and replantation," said Padmanand V,  Partner, and Agriculture Industry Leader, Grant Thornton Bharat.

Union Budget 2026 Reaction: Tourism sector

"The Union Budget 2026 presents a forward-looking and comprehensive vision for strengthening India’s tourism and travel ecosystem. With tourism contributing nearly 5-6% to India’s GDP and supporting over 40 million jobs, the Budget’s focus on heritage and medical tourism, the proposed National Institute of Hospitality, structured guide upskilling in collaboration with IIMs, promotion of trekking and experiential travel, and sustainability reflects a strong push toward quality-led, experience-driven growth.

The emphasis on medical tourism is particularly encouraging, as India already attracts millions of international patients annually, supported by cost-effective care and growing global trust in its healthcare ecosystem. When combined with investments in AI and emerging technologies, improved high-speed rail connectivity, and sustainable travel infrastructure, these measures create a strong foundation for digital innovation, regional job creation, and inclusive growth. This budget is an opportunity to work closely with government, industry, and local communities to make travel more seamless, data-driven, and sustainable while unlocking new demand across both domestic and inbound travel markets," said Rikant Pittie, CEO and Co-Founder of EaseMyTrip.

Union Budget 2026 Reaction: Edtech sector

"The Union Budget 2026 sends a clear signal about India’s economic direction by reinforcing the role of a strong, technology-enabled financial ecosystem in driving sustainable growth. With continued focus on digital public infrastructure, financial sector stability, and long-term capital formation, the Budget lays the groundwork for a more resilient and inclusive financial economy. These measures strengthen India’s ability to expand formal financial access while supporting innovation at scale.

This ecosystem-wide approach creates tangible momentum for entrepreneurs and businesses operating across lending, payments, insurance, and allied financial services. By improving policy predictability and encouraging technology-led participation, the Budget enables companies to design solutions that are more accessible, efficient, and aligned with evolving consumer needs. Such clarity is essential for founders building platforms that address affordability, risk management, and financial security for a broader population.

At the same time, signals around digital adoption and data-driven governance will accelerate the integration of advanced technologies across financial services. As institutions modernise operations and improve customer experiences, these initiatives will enhance productivity, trust, and competitiveness across the sector.

By strengthening financial infrastructure and enabling technology-led innovation, Budget 2026 supports job creation, entrepreneurship, and deeper financial inclusion. This forward-looking approach positions India’s financial services industry to contribute meaningfully to long-term economic growth and the country’s vision of a future-ready, inclusive economy,” said Rajeev Tiwari, Founder & CFO, STEMROBO.

"The current Budget marks a shift from general, supply-driven skilling schemes to a demand-driven approach focused on job-relevant skills. Key labour-intensive sectors such as textiles, tourism, and the care economy are targeted to maximise employment potential and drive sustainable economic growth. Recognising the services sector as a major future employer, the Budget proposes a high-level committee to assess emerging trends, reflecting a proactive approach to preparing for the evolving job market," said Ashok Varma, Partner, Grant Thornton Bharat.

"The proposal to create a high-powered Education to Employment and Enterprise committee is a timely acknowledgement that India’s growth story will be written in its services sector and by its talent. As AI, automation, and digital services reshape how work is created and delivered, the real challenge is no longer access to education but the translation of learning into employable and enterprise-ready skills. The government’s emphasis on large-scale AI missions and emerging technology capacity building for 25 crore Indians signals a shift from intent to infrastructure. For India to claim a meaningful global share in services by 2047, skilling systems must move faster, become outcome-driven, and stay closely aligned with real industry demand. This Budget sets the foundation for a workforce that is not just qualified, but continuously adaptable in an AI-led economy.”

As India advances towards becoming a global services and innovation-led economy, Unstop remains committed to supporting learners, institutions, and employers by strengthening the link between education, skills, and real-world employment outcomes.

We would be glad to explore further discussions around the Budget’s implications for skilling, employability, and workforce readiness in an AI-driven economy," said Ankit Aggarwal, founder of Unstop.

Union Budget 2026 Reaction: India Semiconductor Mission 2.0

“The announcement of rolling out India Semiconductor Mission 2.0 addresses the next set of bottlenecks the ecosystem is facing. These include access to equipment and materials, development of full-stack Indian IP, and depth in domestic supply chains.

ISM 1.0 helped kick-start participation, while ISM 2.0 is focused on building capability where it matters most. The focus now has to be on execution. Industry-led R&D, support for advanced materials and manufacturing-linked design, and close integration between research centers and companies are essential to shorten development cycles and reduce external dependencies. Given the long timelines and capital intensity involved, policy clarity and continuity will be as important as financial incentives.

If implemented with speed and consistency, ISM 2.0 can help Indian companies scale faster and build globally competitive capabilities across the value chain,” said Hareesh Chandrasekar, CEO & Co-Founder AGNIT Semiconductors Private Limited.

Union Budget 2026 Reaction: Healthcare & Pharma Industry

“Budget 2026 reflects a clear and deliberate push to strengthen India’s manufacturing and research ecosystem, particularly in biopharma. The Biopharma Shakti initiative, with an outlay of ₹10,000 crore over five years, is a significant boost for a sector driven by high value, high skill and high technology products. The creation of 1,000 clinical trial sites and the move to strengthen CDSCO to global standards demonstrate a deep understanding of what it takes to build a globally competitive biopharmaceutical industry. Repeated emphasis on quality upgradation and R and D infrastructure, seen across initiatives from biopharma to textiles, will provide a strong lift to the testing, inspection and certification ecosystem. The commitment to upgrading drug testing facilities for Ayurveda, with a focus on quality and skilled manpower to support exports, further reinforces the government’s intent to build robust quality infrastructure across healthcare segments. This approach aligns well with the India EU free trade agreement, which opens access to regulated global markets where compliance and quality are critical. The parallel focus on strengthening education and research institutions will also help address the skilled manpower gap that must be filled to scale manufacturing sustainably. Overall, the budget sets a strong foundation, with execution now becoming the key differentiator,” said Dr. Saurabh Arora, Managing Director, Auriga Research

Union Budget 2026 Reaction: Apparel & Textile Industry 

“The Budget’s integrated approach towards strengthening the labour-intensive textile sector is a positive and much-needed step for India’s apparel manufacturing ecosystem. The focus on fibre self-reliance, modernisation of textile clusters, and targeted support for handloom and handicraft segments addresses long-standing structural gaps across the value chain. Initiatives such as the National Fibre Scheme and capital support for machinery and technology upgrades will help manufacturers improve productivity, quality standards and supply reliability, which are critical for both domestic growth and export competitiveness. The proposal to set up mega textile parks further strengthens the ecosystem by enabling scale, shared infrastructure and compliance readiness.

For apparel manufacturers supplying large-scale value fashion retailers, these measures provide greater confidence to plan capacity, invest in modernisation and generate sustained employment while remaining globally competitive,” said Abhishek Dua, Co-Founder, Showroom B2B 

Union Budget 2026 Reaction: MSME sector

“Reviving 2,000 industrial clusters and setting up a Rs10,000 crore MSME growth fund is a very welcome signal for manufacturing. For many MSMEs in our ecosystem, equity support and day-to-day liquidity are serious bottlenecks.  If this fund translates into easier access to growth capital, especially for cluster-level suppliers, tool rooms and component makers, it will lift the entire value chain and give manufacturers a lot more confidence to invest in capacity and localisation,” said Jasraaj S Kalra, Managing Director, Noble Group. 

Union Budget 2026 Reaction: Steel Processing sector

“The Union Budget 2026–27 makes an important move for India’s steel sector by proposing a Rs 20,000 crore outlay over the next five years for Carbon Capture, Utilisation and Storage (CCUS) technologies. This investment recognises that while steel production is a key driver of India’s infrastructure and development, it is also one of the most carbon‑intensive industries. Supporting CCUS will help steel companies capture and reuse carbon emissions, reduce environmental impact, and align with global climate commitments such as India’s net‑zero by 2070 goal.

For the steel industry as a whole, this Budget measure provides a practical solution to strengthen competitiveness in a world increasingly focused on low‑carbon manufacturing. By lowering the cost barrier for adopting CCUS and related green technologies, the government is encouraging producers to transition toward cleaner operations. This will attract investment, enable access to export markets with carbon standards, and improve the sector’s global standing. At the same time, simplifying customs processes and making imports and exports easier will reduce transaction delays and costs, further enhancing India’s competitiveness in global steel trade. These actions will also help build stronger supply chains and create new opportunities in areas such as recycled steel, green hydrogen integration, and renewable energy use within steel plants.

Overall, this Budget initiative is a step toward balancing industrial growth with environmental responsibility, enabling the steel industry to grow sustainably, reduce its carbon footprint, and contribute to India’s broader climate, economic, and trade goals,” said Harsh Bansal, MD of BMW Industries Limited.

Union Budget 2026 Reaction: Realestate sector

“REITs for CPSEs have been under discussion for quite some time, and the proposal has now been highlighted in Budget 2026. While the REIT structure will undoubtedly help CPSEs raise much‑needed capital for long‑term investments, a key near‑term challenge will be determining fair rental values for self‑owned assets. Striking the right balance will be critical to ensuring transparency and fairness without adversely impacting the future profitability of CPSEs,” said Bhavik Vora, Partner, Grant Thornton Bharat.

Bridging tradition and innovation: Budget 2026 prioritises biologics hubs and global ayurveda leadership

"The Union Budget’s emphasis on strengthening the AYUSH ecosystem marks a significant step towards reinforcing India’s traditional systems of medicine. Measures such as upgrading AYUSH pharmacies and drug testing laboratories, expanding the pool of skilled professionals, and bolstering evidence-based research are expected to improve quality standards and public trust in traditional healthcare. The proposal to establish three new All India Institutes of Ayurveda further underlines the government’s focus on institutional capacity-building and formal education in traditional medicine. Together, these initiatives aim to bridge traditional medical knowledge with contemporary healthcare needs, while supporting preventive and holistic approaches that continue to gain relevance in modern health discourse.

India’s disease burden is steadily shifting towards non-communicable diseases such as diabetes, cancer, and autoimmune disorders, where prevention and long-term care are critical. In this context, biological medicines are emerging as key to improving longevity and quality of life at affordable costs, while positioning India as a global biopharma manufacturing hub. The Finance Minister’s proposal of Biopharma Shakti, with an outlay of ₹10,000 crore over the next five years, signals a strong push in this direction. Unani has historically played a vital role in preventive and holistic healthcare, and modernising its delivery ecosystem will help make trusted, natural remedies more accessible to today’s consumers.

At Hamdard, our commitment has always been to uphold the scientific integrity, quality, and accessibility of Unani & Ayurveda medicine. This announcement reinforces the importance of bridging traditional wisdom with contemporary healthcare needs, especially at a time when people are increasingly seeking natural, preventive solutions for everyday health & wellness needs," said Abdul Majeed, Chairman & Managing Trustee of Hamdard Laboratories.

Union Budget 2026 reaction: Electronics manufacturing sector

“The announcement of India Semiconductor Mission 2.0 and the proposal to raise the Electronics Components Manufacturing Scheme outlay to ₹40,000 crore marks a decisive shift from ecosystem creation to ecosystem deepening. ISM 2.0’s focus on equipment, materials, full stack design and Indian IP directly addresses the weakest layers of India’s semiconductor value chain, which have historically remained import dependent.

India today consumes close to $50 billion worth of semiconductors annually, yet domestic manufacturing contributes less than $2 to $3 billion. This imbalance has strategic implications, especially as India generates nearly 20 percent of the world’s data but hosts only about 3 percent of global data centre capacity. With semiconductor consumption expected to cross $100 billion by 2030, capacity creation must now move faster than demand growth to avoid widening this gap.

The strong response to the Electronics Components Manufacturing Scheme reflects this urgency. Launched in April 2025 with an outlay of ₹22,919 crore, the scheme has already attracted investment commitments at nearly double the original targets. Increasing the outlay to ₹40,000 crore is therefore not an expansion of ambition, but a recognition that demand is outpacing available domestic capacity. Several manufacturers, including companies already operational on the ground, have actively engaged with the ISM framework to align their expansion plans with this next phase.

The emphasis on industry led research and training centres is equally critical. Semiconductor manufacturing is capital intensive, but it is fundamentally driven by process discipline, yield optimisation and skilled manpower. Backend manufacturing such as assembly, testing and advanced packaging can be operational within two to three years, compared to five to seven years for advanced fabrication plants, making it the fastest and most practical route to absorb domestic demand and generate high quality manufacturing employment at scale.

At Suchi Semicon, this demand is already translating into execution. Our Surat OSAT facility, which began production in 2025, is scaling from 300,000 chips per day to three to four million chips daily, serving applications across electric vehicles, industrial electronics, power devices and IoT. Advanced packaging such as QFN and power packages is no longer a supporting function but a critical value layer as devices become smaller, more power dense and thermally demanding.

The Budget’s intent to support mineral rich states such as Odisha, Andhra Pradesh, Tamil Nadu and Kerala is strategically important for semiconductor manufacturing. Odisha accounts for a significant share of India’s bauxite and alumina reserves, which are essential for substrates and advanced ceramics. Andhra Pradesh and Tamil Nadu are emerging as electronics and semiconductor manufacturing hubs with established industrial corridors, port infrastructure and power availability, while Kerala plays a critical role in mineral processing, specialty chemicals and human capital. Strengthening these states helps localise materials, reduce logistics risk and improve supply chain resilience.

As the Electronics and IT Minister has consistently emphasised, semiconductors are not a single factory play but a full stack ecosystem spanning materials, equipment, manufacturing, talent and design. The policy framework is now largely in place. The next differentiator will be execution speed, including approvals, power availability and import clearances for specialised equipment and chemicals. If these move in parallel with policy intent, ISM 2.0 can ensure that India does not remain a large consumer of semiconductors, but emerges as a globally relevant manufacturing hub that captures value domestically,” said Ashok Mehta, founder, Suchi Semicon.

'India’s next phase of progress will be driven by companies that integrate design, engineering, and advanced manufacturing at scale'

“Union Budget 2026 marks a significant change in India’s electronics and semiconductor journey, shifting the focus from capacity creation to long-term capability development. The introduction of the Indian Semiconductor Mission 2.0 and the launch of the Shakti initiative, coupled with an enhanced financial outlay of Rs 40,000 crore, further strengthen the ecosystem and reflect the government’s commitment to building a future-ready ecosystem across equipment, materials, full-stack IP, and resilient supply chains. 

The focus on domestic component manufacturing, R&D, and workforce upskilling is a critical step towards strengthening India’s position in the global electronics value chain. These measures will reduce import dependence and create the foundation for innovation-led, sustainable growth.

India’s next phase of progress will be driven by companies that integrate design, engineering, and advanced manufacturing at scale, for which Budget 2026 lays the groundwork. This transition reinforces India’s ambition to emerge as a global hub for electronics and semiconductor innovation,” said Nikita Kumawat, Co-Founder and Executive Director, Brandworks Technologies.

Union Budget 2026 reaction: Agri-tech sector

"Union Budget 2026 takes a meaningful step towards addressing India’s long-standing dependence on imported edible oils by shifting the focus to domestic oilseed productivity and resilience. The emphasis on high-value crops, climate-resilient agriculture and improved agri-credit can help farmers invest more confidently in better inputs and practices for oilseed cultivation.

The integration of AI through initiatives like Bharat-VISTAAR also has the potential to improve crop planning, yield predictability and risk management for oilseed farmers. Over time, these measures can support a more stable domestic oil ecosystem, benefiting farmers, agri-businesses and consumers by reducing volatility and import vulnerability," said Sparsh Sachar, Director and Business Head, FMCG, Nutrica.

 'The Union Budget sends a clear signal: India’s next phase of growth will be knowledge-led, technology-driven and deeply inclusive'

For the IIT ecosystem, this is both an opportunity and a responsibility. Our faculty and alumni must step forward as the nation’s brain trust, shaping the AI discourse with evidence-based research that balances productivity with employment. The emphasis on clinical trial networks, sector-specific platforms and deep-tech funding underscores the need to move from academic outputs to translational, problem-centric research deployed at scale. Equally important is the role of IITians in mentoring the next tier of institutions and startups, ensuring that expertise is shared, not siloed. Finally, innovation must be inclusive. The focus on women in STEM and grassroots capacity-building calls for IITs to lead by example, embedding diversity into research, entrepreneurship and leadership. The future will be defined not by technology alone, but by how responsibly and equitably we deploy it," said Prabhat Kumar (IRS), Chairman - Pan IIT Alumni India. 

Union Budget 2026 reaction: Logistics sector

“The Union Budget 2026 marks a decisive inflection point for India’s freight logistics ecosystem, particularly for startups that sit at the intersection of infrastructure, technology and MSME commerce. The sharp rise in public capex to ₹12.2 lakh crore, coupled with seven high-speed rail corridors, new dedicated freight corridors, 20 national waterways and a push for coastal cargo, fundamentally expands capacity while lowering transit time and logistics cost—critical enablers for scalable freight networks. The Infrastructure Risk Guarantee Fund materially de-risks private capital in logistics-linked infrastructure, accelerating asset creation and modernization.

Equally transformative are MSME-focused measures. Mandatory TReDS settlement for CPSE procurement, GeM–TReDS integration, credit guarantees for invoice discounting and professional ‘corporate mitras’ together unlock working capital liquidity and compliance readiness—directly expanding freight demand from smaller manufacturers and exporters. For logistics startups, this translates into more predictable volumes, faster cash cycles and deeper penetration into Tier II and III markets.

Sectoral pushes—from semiconductors and electronics to textiles, chemicals and rare earth corridors—signal a broad-based manufacturing upswing that will require sophisticated, multi-modal freight solutions. Customs duty rationalisation, MRO input exemptions, e-commerce export facilitation and blended CNG relief further reduce friction and support greener, tech-enabled logistics. Taken together, Budget 2026 positions freight logistics startups not as ancillary players, but as core architects of India’s growth, export competitiveness and supply chain resilience,” said Venu Kondur, CEO, LOBB, Logistics, India’s leading digital freight brokerage platform

Union Budget 2026 reaction: AI and Digital Development

“Budget 2026–27 reinforces India’s intent to lead in the AI age by putting talent and capability building at the centre of national progress. The government’s three Kartavya - driving growth, strengthening people’s capacity and ensuring opportunity for all align strongly with the direction in which the technology ecosystem is moving.

The introduction of the Capacity Building AI Missions for 25 crore people, along with support for the National Quantum Mission, Anusandhan Research Fund, and the R&D and Innovation Fund, signals a long term commitment to creating both the talent and the infrastructure required for an AI-native economy. This is not just an investment in technology but an investment in people.

By expanding access to advanced learning and accelerating innovation pathways, the Budget lays the groundwork for a workforce that can build, deploy and lead with AI across global industries. It opens the door for deeper industry, academia collaboration and a future defined by capability, confidence, and opportunity,” said Raghav Gupta, Founder & CEO, Futurense

'Budget’s focus on strengthening IT services and deepening digital capabilities provides added momentum for banks to accelerate AI adoption'

"Union Budget 2026 makes it clear that AI and IT services will play a central role in shaping the next phase of India’s banking and financial services growth. As credit demand remains strong and banks operate under tighter funding and regulatory conditions, the emphasis on digital infrastructure, AI-led innovation and technology-enabled productivity is both timely and necessary.

The Budget’s focus on strengthening IT services and deepening digital capabilities provides added momentum for banks to accelerate AI adoption across credit decisioning, risk management, compliance and customer engagement. With increasing system complexity and scale, AI-driven automation and data-led decisioning are becoming essential for banks to grow responsibly while improving efficiency and resilience. Overall, the Budget reinforces technology as a foundational pillar for sustainable growth in the banking ecosystem," said Kishan Sundar, SVP and Chief Technology Officer, Maveric Systems.

'Budget 2026 places AI at the centre of economic growth'

“The Union Budget lays out a balanced and forward-looking framework that places AI at the centre of economic growth, governance, and future jobs, while reinforcing the Education-to-Employment-to-Enterprise (E2E2E) approach. This is especially relevant at a time when India’s overall employability stands at around 56.4%, with only about 43% of graduates currently considered job-ready, underscoring the gap between education outcomes and industry needs. The emphasis on work-integrated degrees and closer university–industry collaboration can meaningfully strengthen talent pipelines. However, the real test will lie in execution particularly in integrating AI into higher education through faculty readiness, infrastructure, and sustained industry participation to ensure policy intent translates into scalable employability, productivity gains, and long-term economic impact,” said Shantanu Rooj, Founder and CEO, TeamLease Edtech.

'Budget 2026 promises structural transformation in healthcare'

"Budget 2026 highlights a structural transformation in healthcare, prioritising modern manufacturing, integrated infrastructure, workforce readiness, and India’s global positioning. The Budget emphasises allied healthcare professionals through skill development and workforce expansion. The government’s proposal to  set up regional medical tourism hubs will promote India as a global destination for medical and wellness travel. Government’s focus on building a domestic ecosystem for cancer drugs and technologies will lower costs and improve overall access to patients," said Ajay Bagga, Managing Director and Country Head - Zimmer Biomet India & MTaI Member.

'Budget 2026 shows a decisive pivot towards green and strategic industrial growth'

“The Union Budget 2026 marks a decisive shift toward green and strategic industrial growth, with sustainability firmly embedded at the core of India’s economic agenda. The push for dedicated rare earth corridors, green logistics, and the Rs 20,000 crore commitment to Carbon Capture, Utilisation and Storage strengthens India’s position in critical clean-energy supply chains while reducing long-term import dependence.

The energy transition gains clear support through extended customs duty exemptions on capital goods for lithium-ion cell and battery energy storage systems manufacturing, duty exemption on solar glass inputs, and expanded exemptions for nuclear power project imports all of which can catalyse sustainable infrastructure and domestic clean manufacturing. We see this as a meaningful opportunity to scale climate-positive infrastructure through long-term capital and effective public–private collaboration.

The direction is clear: sustainability is no longer peripheral but a central pillar of India’s growth strategy,” said Sandiip Bhammer, Founder and Managing Partner, Green Frontier Capital.

'Rs 40,000 crore outlay for electronics manufacturing will accelerate domestic value addition in medical electronics and diagnostics'

“Union Budget 2026 reflects a shift from episodic healthcare spending to long-term capacity building. The thrust on Health Advancement through Knowledge, Technology and Innovation under the BioPharma SHAKTI initiative - backed by a Rs 10,000 crore commitment - along with the strengthening of CDSCO’s regulatory and execution capabilities, expansion of NIPERs, and large-scale skilling of allied healthcare professionals, signals a systemic deepening of India’s health infrastructure, regulatory credibility, and human capital.

Equally significant for the MedTech sector is the enhanced allocation of Rs 40,000 crore for electronics component manufacturing, which will accelerate domestic value addition in medical electronics and diagnostics. Investments across advanced biopharma manufacturing, clinical research infrastructure, district-level oncology care, expanded medical education, and new critical care blocks point to a balanced approach that aligns industrial ambition with patient outcomes.

That said, the Budget would have been stronger had it paired these fiscal commitments with explicit administrative and process reforms. Cleaner, more accountable execution on the ground, would improve outcomes at point of delivery - and attract globally compliant capital and partnerships into the sector,” said Pavan Choudary, Chairman, Medical Technology Association of India (MTaI)

Union Budget 2026 reaction: MSME sector

 "Union Budget 2026 shows strong intent to build an inclusive, manufacturing-led economy. The push to turn MSMEs into 'Champions,' doubling the credit guarantee cover to ₹10 crore to enable ₹1.5 lakh crore in funding, and major investments in biopharma, semiconductors, rare earth corridors, and value-added textile parks signal a serious effort to create full manufacturing ecosystems. Making TReDS mandatory for central PSE procurement is crucial as delayed payments kill small businesses. What I find most promising is the scope for sectors like traditional food processing and agri-based manufacturing that originate in our villages but have global potential. These measures can genuinely strengthen grassroots manufacturing and  move us closer to making ‘Viksit Bharat’ a reality for Village Bharat," said Tarun Poddar, CEO of Foxhog Ventures.

'Announcement on AVGC and content creator labs will significantly improve talent availability'

"The announcement on AVGC and content creator labs is a timely step towards aligning India’s education system with the realities of a rapidly evolving creative economy. By formally integrating animation, gaming, visual effects, and content creation into schools and colleges, the policy strengthens the talent pipeline and recognises creative skills as part of India’s economic infrastructure rather than an informal career path.

This initiative will significantly improve talent availability. The next opportunity lies in aligning training with how the market actually functions. As brands increasingly look for content that builds relevance and engagement, integrating storytelling, strategic context, and brand understanding alongside technical skills will ensure this growing talent pool is immediately usable in real-world environments. A curriculum shaped by live projects and evolving brand needs can translate scale into sustained impact.

The proposal to develop university townships near industry corridors further strengthens this alignment. Closer collaboration between educational institutions, agencies, studios, and technology providers can help curricula stay relevant as formats and workflows evolve. With AI-assisted creation, real-time production, and immersive content becoming mainstream, training systems will need to remain dynamic and forward-looking.

At the same time, this shift will influence how companies approach content. Marketing budgets today are heavily skewed towards performance and distribution, while structured investment in storytelling remains limited. As access to skilled creators improves, brands will increasingly need to treat content not just as execution, but as a strategic asset that builds long-term brand value.

For communication and PR agencies, this evolution reinforces their role as narrative partners. Agencies are positioned to connect business objectives with content, creators, and credibility, helping brands move from isolated campaigns to coherent, long-term storytelling. The policy lays a strong foundation. Its long-term impact will depend on how effectively talent development, storytelling investment, and market demand are brought together," said Rajat Grover, Founder & CEO, Elite Marque

'Union Budget 2026 focuses on sustaining economic growth amid global uncertainty'

“India’s growth rate has been impressive, and inflation has remained low. This budget comes at the backdrop of massive global uncertainty. However, there have been lingering concerns about the sources and quality of growth, and whether it is truly inclusive. It addresses some of these issues partially. The budget does not have any surprises, which, in the current climate, is itself reassuring. It plans to reduce deficits modestly and keep up the momentum on government capex spending. It recognizes the need to help MSMEs deal with that uncertainty. Providing equity support through the creation of a dedicated ₹10,000 crore SME Growth Fund is an excellent initiative. This can help MSMEs mitigate risks and make growth more inclusive. If this helps MSMEs in manufacturing, this can help create a better ecosystem for manufacturing in India. It also tries to address the lack of capital inflows to India. The budget also attempts to address the persistent challenge of attracting capital inflows. Granting a tax holiday to data centres until 2047 is a bold move in the right direction — it offers a clear policy signal and can meaningfully attract investment in that sector. Where I felt the budget could have done more is on the rural economy. Rural India is becoming increasingly dependent on transfers rather than enterprise, and that structural concern deserved a more decisive response," Dr. Partha Chatterjee, Dean of Academics and Professor of Economics, Shiv Nadar University, Delhi NCR.

'Union Budget 2026 highlights the need to balance AI driven scale and efficiency with employability'

“As India accelerates its adoption of emerging technologies, the Union Budget 2026 highlights the need to balance AI driven scale and efficiency with employability and long term skill development. Although innovation powered by AI is empowering startups and the broader technology industry, growth should not be at the expense of employability or long-term skill development. The real opportunity is to leverage advanced technologies to scale business operations and increase market potential, while maintaining human talent as the foundation of the workplace. When technology is matched with workforce capability and backed by constant upskilling, it can result in superior productivity and revenue growth without diluting India's fundamental strength, its capable and flexible talent base,” said Yuvraj Shidhaye, Founder and Director, TreadBinary. 

"Today’s Budget lays out a coherent blueprint for future-ready employment by tightly linking capital investment with workforce capability. By situating education hubs within five major industrial clusters, the government is converting manufacturing ambition into job-ready capability. This approach closes the last-mile skilling gap, reduces migration-related attrition, and ensures MSMEs have consistent access to locally trained, day-one-ready talent.

Crucially, this workforce push aligns well with opportunities emerging from trade agreements such as the EU–India FTA, where export-led manufacturing and high-value services will demand globally compliant, job-ready talent at scale.

With technical textile parks expected to support up to 35 million jobs by 2030, healthcare hubs adding 2.7 million roles, and hospitality capacity expanding beyond 4 million rooms by 2034, the focus is clearly on employment-intensive growth. The Rs 10,000 crore district hostel initiative further strengthens inclusion by enabling higher female participation, building on a 58 percent rise in women apprentices over the years 2021-2024.

Together with the ambition to grow services to 10 percent of global economy by 2047, this Budget bridges education and employment at scale, positioning India’s youth to power productivity, exports, and a Viksit Bharat," said Dr Nipun Sharma, CEO, TeamLease Degree Apprenticeship.

'Budget prioritise right initiatives from fiscal responsibility, continued capital expenditure to a rare earth corridor'

“Overall the budget has prioritized all the right initiatives from fiscal responsibility, continued capital expenditure to a rare earth corridor and the market reaction is much more of a knee jerk reaction in our view to the increase in STT on futures and no decrease in capital gains tax.  

NRI and PROI (Persons resident outside India) limits increased to 10% of the paid-up capital of an Indian listed company (previously 5%). The combined cap for all such individual investors in a single company has been raised to 24% (previously 10%).

This is a move in the right direction and to an extent expected to negate the impact of FII outflows which has led to the rupee deteriorating sharply against the USD.  Unlike institutional FPIs, which often “exit” en masse during global shocks, NRIs tend to have a longer-term investment horizon and could act as a cushion to FII outflows.

The government fulfilled its commitment made in 2021–22 to reduce the fiscal deficit below 4.5% of GDP by 2025–26. The fiscal deficit for 2025–26 is estimated at 4.4% of GDP. For 2026–27, the fiscal deficit is expected to further decline to 4.3% of GDP.

Impact This signals a transition to long term fiscal stability. Lowering the fiscal deficit while maintaining its infrastructure push will help in driving GDP growth. This also makes the country attractive for FPI investments as it signals fiscal responsibility and long tern currency stability.

In very short “the budget is a structurally responsible one and not one on rhetoric. In the long run this should be structurally positive for equities, and we are not too worried about the short-term reaction,” said Aditya Mulki, CEO, Navi AMC Ltd.

'It is a Budget which creates opportunities, for youth to improve their livelihoods'

“A growth-oriented Budget, with a clear focus on increasing public capital expenditure and boosting manufacturing.

It is a Budget which creates opportunities, for youth to improve their livelihoods, women to become financially independent and for employment-intensive sectors like medical tourism to take off.

I welcome the Government's keen attention to critical minerals and rare earths. The Rare Earths Corridors for mining, processing, R&D and manufacturing in Odisha, TamilNadu, Andhra and Kerala will boost growth, employment and mineral security. Import duty exemption on capital goods for critical minerals processing is very timely in the current global scenario.

The announcement on flexibility in SEZs, which will permit some sales in domestic market is an excellent move.

I congratulate the PM and FM for continuing to steer the Indian economy with a very steady hand in uncertain times,” said Anil Agarwal, Chairman - Vedanta Ltd.

Union Budget 2026 Reaction: EV, Energy, Defence & Security

“While global developments such as US tariffs are being closely observed, the government is signalling that India is ready to think beyond reliance on any single market, expand opportunities in Europe, and improve ease of doing business. The Union Budget 2026–27’s announcement of a significant increase in defence capital expenditure to Rs 2.3 lakh crore underscores a strong commitment to modernisation, self-reliance, and indigenisation. For domestic manufacturers, this presents a strategic opportunity to scale production, invest in advanced R&D, and develop mission-critical technologies. With domestic manufacturing capacity projected to grow 7%, India is not only reducing import dependency but also enhancing its defence readiness. At Krishna Defence, we view this renewed focus on embedding defence manufacturing into India’s broader industrial ecosystem as a pivotal moment. It positions us to deliver resilient, homegrown solutions that strengthen national security, foster technological innovation, and elevate India’s standing as a globally competitive defence manufacturer,” said Ankur Shah, Managing Director, Krishna Defence and Allied Industries Limited.

'Union Budget 2026 gives clarity and stability needed to drive India’s green mobility transition'

“India’s shift towards India’s push for electric mobility, with the government focusing on electric mobility with a specific focus on public transportation and sustainable last-mile delivery. The PM-eBus Sewa scheme will deploy 4,000 new electric buses, complemented by ₹2,000 crore under the PM E-DRIVE scheme for pan-India EV charging infrastructure, accelerating clean transport adoption. For last-mile delivery, this opens opportunities to electrify logistics fleets, reduce emissions, and enhance operational efficiency.  At Green Drive, we see this industry's expectations for 38,000 e-buses by 2029; the government’s continued policy support provides the clarity and stability needed to drive India’s green mobility transition," said Hari Krishna, Founder & CEO at Green Drive Mobility.

'Reforms in TReDS, GeM Integration and credit guarantees will help MSMEs adopt technology faster, operate with greater confidence'

"The Budget’s strong focus on MSMEs is a timely step towards building a more resilient and future-ready business ecosystem. The Rs 10,000 crore growth fund and enhanced risk capital will encourage entrepreneurship and job creation, while reforms around TReDS, GeM integration, and credit guarantees will significantly ease liquidity challenges for small businesses. Equally important is the emphasis on affordable compliance support through trained "Corporate Mitras", especially for enterprises in Tier 2 and Tier 3 cities. Together, these measures will help MSMEs adopt technology faster, operate with greater confidence, and scale sustainably."

'Union Budget 2026–27 reinforces confidence in India’s real estate and infrastructure sectors'

"The Union Budget 2026–27 reinforces confidence in India’s real estate and infrastructure sectors through a strong push for infrastructure-led growth and a clear focus on Tier I and Tier II cities. The proposed ₹12.2 lakh crore capital expenditure underscores the government’s commitment to long-term development and improved urban connectivity, which remains a critical driver for housing demand. The introduction of the Infrastructure Risk Guarantee Fund is a significant step that can ease financing challenges, strengthen lender confidence, and encourage greater private sector participation in large-scale real estate and infrastructure projects. Equally important is the emphasis on asset monetisation and urban expansion beyond metros, which can unlock fresh investment opportunities and support more balanced regional growth. That said, we were expecting further measures to improve housing affordability, including expanded definitions for affordable housing, targeted incentives for first-time homebuyers, rationalisation of GST on under-construction homes, among others. Overall, the Budget sets a direction for real estate-led growth, and with effective implementation, it can strengthen the sector’s contribution to economic expansion and support India’s broader vision of Viksit Bharat,” said Ramani Sastri - Chairman & MD, Sterling Developers.

'Budget clearly signals continuity of intent on infrastructure and logistics'

“The Budget clearly signals continuity of intent on infrastructure and logistics, even if headline capex has not increased sharply. By reiterating the importance of infrastructure, logistics and river-linked transport, it strengthens India’s ability to move goods efficiently and connect manufacturers to coastal and international markets. Over time, this should help ease bottlenecks, lower logistics costs and expand market access for Indian industry.

I am also encouraged by the emphasis on MSMEs and emerging indigenous sectors such as biopharma and food processing. India is a large food producer with the capacity to meet domestic demand while also serving global markets. With the right policy support, this focus can translate into stronger rural incomes and more resilient MSMEs.

On the funding side, while NBFCs already access international markets through bonds and syndicated loans, monetary transmission in India has traditionally been gradual. Rate cuts may not translate immediately, but a deeper and more efficient corporate bond market can, over time, meaningfully widen access to capital for industry,” said Umesh Revankar, Executive Vice Chairman, Shriram Finance.

Budget 2026 reinforces financial and institutional foundations essential for sustained growth

“In a year marked by geopolitical volatility and shifting global trade dynamics, the 2026 Union Budget delivers strength exactly where India needs it. By deepening corporate bond markets, enhancing frameworks to attract long-term global capital, and initiating critical banking-sector reforms, it reinforces the financial and institutional foundations essential for sustained growth. Coupled with a declining debt-to-GDP ratio and a credible fiscal glide path, these measures impart India growth stability by protecting the downside,” said Dhanpat Nahata, Managing Partner, Essar Capital

Union Budget 2026 reaction: Logistic sector

"The Union Budget 2026 reinforces India’s steady, reform‑driven economic trajectory at a time of global fragmentation and supply‑chain realignment. By increasing public capital expenditure to Rs 12.2 lakh crore and prioritising projects such as dedicated freight corridors, expanded waterways and logistics infrastructure, the Budget provides funded levers to accelerate execution across logistics and energy corridors. Taken together, it is a decisive push that aligns well with the sectors powering India’s next decade,” said Srinivasan Vaidyanathan, Operating Partner, Essar.

Union Budget 2026–27 lays strong foundation for Insurance-led growth and resilience

Union Budget 2026–27 is a forward-looking and reassuring document presented at a time when global volatility, geopolitical tensions, and supply-chain disruptions continue to shape economic realities. The Finance Minister’s emphasis on accelerating growth especially in new age sector while strengthening resilience reflects a clear understanding of what India needs at this stage of its development.

For the general insurance sector, several parts of this Budget create strong tailwinds. The MSME-focused measures including the ₹10,000 crore SME Growth Fund, the additional support to the Self-Reliant India Fund, and the significant strengthening of the TReDS ecosystem through CPSE onboarding, credit guarantee support, GeM linkages, and securitisation of receivables expand formalisation and improve liquidity for small businesses. These steps broaden the base of insurable enterprises and support wider adoption of property, liability, marine, cyber and employee health insurance in the country.

The reforms related to motor insurance, particularly the exemption of income tax on interest awarded by the Motor Accident Claims Tribunal and the removal of TDS, will meaningfully improve claimant outcomes and reinforce trust in the claims process. This is an important step towards making motor insurance more customer centric and responsive.

The government’s Rs 10,000 crore Biopharma Shakti initiative aims to position India as a global hub for biologics and biosimilars, strengthening domestic research and manufacturing. The Budget also expands health capacity by adding Allied Health Professionals, enhancing district level emergency and trauma care, training caregivers, and supporting regional medical hubs. These measures together improve healthcare delivery, outcomes, and long term insurance sustainability.

Beyond direct sector touchpoints, the Budget’s large-scale push on infrastructure including increased public capex of Rs12.2 Lakhs crore, dedicated freight corridors, expansion of waterways, high-speed rail development, and city economic regions opens major avenues for engineering, project liability, and specialty insurance. The proposed Infrastructure Risk Guarantee Fund is also a welcome move that can help de-risk large projects and accelerate private-sector participation.

Equally important is the renewed focus on India’s next phase of urban expansion. The plan to develop Tier 2 and Tier 3 cities through City Economic Regions signals a major shift in how regional growth will be shaped. By channelling investment into these emerging urban centres and strengthening them around their core economic strengths, the government is enabling more balanced urbanisation, stronger commercial ecosystems, and modern infrastructure. As these cities scale, the complexity of economic activity will rise, increasing the demand for holistic risk solutions across property, infrastructure, liability and transit. Insurers will play a crucial role in helping businesses and communities in these regions manage risks effectively and grow with confidence.

The Budget’s strong emphasis on renewable energy, carbon capture, and advanced manufacturing broadens the risk landscape in areas such as climate-linked exposures, environmental liability, and sustainable energy projects. This creates opportunities to scale parametric covers, catastrophe protection, and climate-risk solutions that will be crucial for India’s long-term resilience.

As India moves confidently towards its vision of Viksit Bharat, the general insurance sector is committed to partnering in this journey protecting people, supporting businesses, enabling infrastructure, and building a more secure and resilient nation," said Rakesh Jain, CEO, IndusInd General Insurance

Union Budget 2026 Reactions LIVE | Budget of disbelief rather than relief: International Tax Expert Mukesh Patel

Union Budget 2026 Reactions LIVE | Govt providing an average of 50 days employment a year, how will it fulfil the promise of 125 days of work under VB-G RAM G: Chidambaram

Union Budget 2026 Reactions LIVE | Unemployment, depreciation of rupee not addressed: Chidambaram

In a press conference, former finance minister P Chidambaram asked if the govt is providing an average of 50 days of employment a year, how will it fulfil the promise of 125 days of work under VB-G RAM G?

Inclusive, growth‑oriented Budget: Shailesh Chandra, MD and CEO, Tata Motors Passenger Vehicles Ltd

“The Union Budget 2026 is an inclusive, growth‑oriented and forward‑looking roadmap designed to accelerate sustainable economic expansion with fiscal prudence by scaling up manufacturing across strategic sectors, renewing focus on the services economy, and enhancing export competitiveness in a challenging global environment. The proposal to raise public capex to ₹12.2 lakh crore strengthens the foundation for long‑term growth and the focus on enhancing competitiveness, long‑term resilience and broad‑based development align strongly with the nation’s evolving priorities. Targeted initiatives for data centres, semiconductors, rare earths and electronic components will reduce critical import dependencies and position India as a global high‑tech manufacturing hub. The higher Auto PLI allocation for FY27, customs duty exemptions on capital goods for lithium‑ion cell manufacturing, and increased outlay under the PM e‑Drive scheme reflect the government’s continued commitment to catalyzing the EV ecosystem. Overall, the Budget builds on the reform momentum of recent years, reinforcing India’s resilience and advancing the nation’s journey toward the Viksit Bharat vision.”

Nothing for common man, Bengal in Centre's 'Humpty Dumpty’ budget: Mamata Banerjee

West Bengal Chief Minister Mamata Banerjee on Sunday described the Union Budget for 2026-27 as a "directionless and visionless Humpty Dumpty", claiming that it had nothing to offer to the common man and her state.

Speaking to reporters at Kolkata airport before leaving for New Delhi, Banerjee also alleged that allocation for key sectors had been slashed in the Budget.

"This Budget is directionless, visionless, actionless and anti-people. It is also anti-women, anti-farmer, anti-education and against the SC, ST and OBC... There is nothing on offer for Bengal... in the Humpty Dumpty budget," she said.

"Education funds and subsidy have been slashed, along with social security subsidy and fertiliser subsidy. This is a garbage of lies... of Himalayan incompetence. The economy will be totally derailed," the CM claimed.

Banerjee asserted that the impact of the Budget was visible in the way the stock market reacted. (PTI)

Union Budget 2026 Reactions LIVE | South India given no relief: Siddaramaiah

FM carefully managing near-term objectives with longer term goals: Prashant Kumar, Managing Director & CEO, Yes Bank

“This Budget needs to be seen in connection to the previous few year’s Budgets, especially with it comes to the FM carefully managing the near-term objectives with longer term goals. While the hopes of a bumper resource generation year were limited with the growth in FY27 pragmatically assumed at 10%, the FM achieved the objectives of reducing both the public debt and the fiscal deficits as % of GDP, thereby sticking to the roadmap of fiscal consolidation. Achieving the fiscal targets are also commendable after taking into consideration a higher resource sharing with the State Governments, as suggested by the 16th Finance Commission."

Union Budget 2026 Reactions LIVE | 'Profound disappointment': Tharoor on Kerala not getting its 'fair share'