Key Announcements: Union Budget 2026

Higher Public Capital Expenditure

The government announced a further increase in public capital expenditure, reinforcing its strategy of infrastructure-led economic growth. The focus remains on transport, logistics, energy, and urban development to crowd in private investment and improve long-term productivity. Read More

Continued Fiscal Consolidation

Budget 2026 reaffirmed the government’s commitment to fiscal discipline, with a gradual reduction in the fiscal deficit. The approach balances growth support with medium-term macroeconomic stability and debt sustainability. Read More

High-Speed Rail Corridors

Multiple new high-speed rail corridors were announced to improve inter-city connectivity and reduce travel time across major economic regions. These corridors are expected to support regional development and stimulate allied industries such as construction and manufacturing. Read More

Expansion of Dedicated Freight Corridors

The budget proposed new freight corridors to strengthen India’s logistics backbone. These projects aim to reduce transportation costs, improve supply chain efficiency, and support export-oriented industries. Read More

Manufacturing and Strategic Sectors Push

Budget 2026 deepened the focus on domestic manufacturing, particularly in strategic and high-value sectors. Policy measures were announced to reduce import dependence, improve scale, and strengthen India’s position in global supply chains. Read More

India Semiconductor Mission 2.0

A renewed semiconductor mission was announced to support chip design, manufacturing, testing, and packaging in India. The initiative seeks to build a complete semiconductor ecosystem and reduce reliance on global supply disruptions. Read More

Sector-Specific Industrial Schemes

Targeted support was announced for sectors such as electronics components, chemicals, textiles, and container manufacturing. These measures are intended to boost domestic capacity, employment generation, and value addition.

SME Growth Fund

A dedicated growth fund for small and medium enterprises was introduced to improve access to long-term capital. The fund is aimed at helping MSMEs scale operations, invest in technology, and integrate into larger supply chains. Read More

Strengthening MSME Financing Framework

The budget announced measures to improve credit flow to MSMEs through better integration of government platforms and financing mechanisms. Efforts were also made to ease compliance and improve liquidity for small businesses. Read More

Education-to-Employment Initiative

A high-level initiative was announced to align education, skill development, and employment outcomes. The focus is on emerging sectors such as technology, advanced manufacturing, and services. Read More

New Educational Institutions and Campuses

The government proposed new institutions and educational hubs in key regions, particularly near industrial corridors. These are aimed at strengthening India’s talent pipeline and regional human capital development. Read More

Healthcare Workforce and Infrastructure Support

Budget 2026 included measures to expand healthcare infrastructure and improve the availability of trained medical professionals. The focus is on regional capacity building and improving access to quality healthcare services. Read More

Agriculture and Allied Activities

The budget emphasised productivity-oriented support for agriculture and allied sectors such as fisheries, horticulture, and animal husbandry. The approach prioritises value addition, diversification, and income stability for rural households. Read More

City Economic Regions

New City Economic Regions were proposed to accelerate development in Tier-2 and Tier-3 cities. These regions are intended to act as growth hubs with focused infrastructure investment and industrial activity. Read More

Financial Sector and Banking Measures

The budget announced reforms to strengthen the financial system and improve credit availability for large infrastructure projects. New mechanisms were proposed to manage risk and support long-term financing. Read More

Tax and Compliance Rationalisation

Budget 2026 continued efforts to simplify tax compliance and rationalise existing provisions. The measures aim to reduce friction for taxpayers while maintaining revenue stability. Read More