Union Budget 2026 Sets the Tone for India’s Economic Future

New Delhi: February 2026 : marks a crucial day for India’s economy as Finance Minister Nirmala Sitharaman presents her ninth Union Budget in Parliament. The Budget for 2026–27 is expected to outline the government’s economic priorities at a time when global uncertainty persists but domestic fundamentals remain relatively strong. With expectations running high, policymakers, businesses, and citizens alike are keenly watching the announcements that could shape growth, employment, and investment in the coming year.

Ahead of the Budget, the Economic Survey 2025–26 has projected India’s economic growth at around 7 percent, placing the country among the fastest-growing major economies in the world. According to the Survey, growth in the next financial year is expected to remain in the range of 6.8 to 7.2 percent, supported by resilient domestic demand and steady capital formation. The Survey also highlighted India’s demographic advantage, pointing to its large working-age population as a key driver of long-term growth, while underlining the need to address challenges related to health, skills, and employment generation.

The Budget is widely expected to focus on expanding employment schemes and boosting capital expenditure, especially in infrastructure. Economists believe that continued public investment in roads, railways, power, and urban infrastructure could help sustain growth momentum while also creating jobs. At the same time, there is considerable anticipation around possible changes in income tax slabs, measures to control inflation, and incentives to attract private investment.

Rural spending and social welfare are also likely to remain in focus, as the government seeks to balance growth-oriented policies with inclusive development. With global risks such as geopolitical tensions, trade disruptions, and volatile commodity prices still present, markets are closely monitoring how the Budget addresses external challenges while maintaining fiscal discipline.

Before presenting the Budget, Finance Minister Nirmala Sitharaman, along with Minister of State for Finance Pankaj Chaudhary and senior officials from the Ministry of Finance, met President Droupadi Murmu at Rashtrapati Bhavan. The President extended her best wishes to the Finance Minister and her team ahead of the presentation, a customary practice before the Budget is tabled in Parliament.

As the Budget speech unfolds, all eyes remain on how the government plans to steer the economy through a complex global environment while unlocking India’s growth potential at home.