Finance Minister Nirmala Sitharaman is set to create history on February 1st by presenting the Union Budget for FY 2026-27, marking her ninth consecutive budget. This milestone establishes her as the longest-serving finance minister in India with an uninterrupted run of budget presentations.
The Budget Session of Parliament commenced on January 28, 2026, and will continue until April 2, 2026, spanning 30 sittings over 65 days. The session is divided into two phases, with 13 sittings in the first part and 17 in the second.
The upcoming budget is expected to focus on several key sectors, including manufacturing, defence, renewable energy, MSMEs, and the automotive industry. It aims to boost India's growth and development by allocating funds to various sectors and ministries, with potential focus areas including urban development, artificial intelligence, electronics, railways, and agriculture.
The government is expected to announce major initiatives to boost India's manufacturing and industrial sectors, aligning with the vision of making India a developed nation by 2047. The budget may emphasize accelerating industrial corridors, easing business regulations, and increasing financial support for manufacturing. Currently, 12 smart industrial cities are being developed across six major corridors in 10 states. The Centre is also likely to announce reforms to remove unnecessary regulations and improve ease of doing business.
The Economic Survey projected that the Indian economy will grow by 6.8% to 7.2% in fiscal year 2026-27. While lower than the 7.4% estimated for the current fiscal year, it affirms India as the world's fastest-growing economy despite global uncertainty. The survey highlights strong macroeconomic fundamentals, sustained growth momentum, and the expanding role of innovation, entrepreneurship, and infrastructure in nation-building.
The India Union Budget 2026-27 is expected to be presented on February 1, 2026, as India's economy is forecast to expand by 7%–7.5%, driven by resilient consumer spending, infrastructure upgrades, and ongoing policy initiatives. Corporate deal activity remains robust, with M&A volumes reaching USD 61.3 billion in H1 2025, and foreign investment inflow continues to rise.
Several tax measures are expected to accelerate progress and strengthen India's global competitiveness. The government is promoting fast-track mergers and demergers.
The Budget is expected to outline measures to support growth, boost self-reliance, and safeguard the Indian economy from external shocks. It also comes at a time when the government is balancing fiscal discipline with the need for continued public spending.
Households are hoping for measures that could possibly increase their disposable income and savings, with enhanced tax benefits for salaried employees. Railways, defence, MSMEs and the medical sectors may see major support in the budget. Easier access to advanced health care through better public health infrastructure, and increased budget allocation for the same is also expected.
After presenting the Union Budget, the Finance Minister will interact with around 30 college students from different parts of the country who will witness the live presentation of the Budget from the Lok Sabha gallery.
Nirmala Sitharaman's tenure as finance minister has spanned 6 years and 8 months since taking oath on May 31, 2019. In 2019, she replaced the colonial 'budget briefcase' with a traditional Indian accounting ledger wrapped in red cloth and in 2021, she presented the first paperless budget on a tablet.
Entering 2026, the Indian economy remains resilient, with sustained growth momentum and domestic demand, despite global uncertainties and trade disruptions. Growth is expected to stand between 7.5% and 7.8% in fiscal 2025 to 2026, and then between 6.6% and 6.9% in fiscal 2026 to 2027, buoyed by the rollout of new goods and services tax (GST) rules and slowing inflation.
