MAJOR ANNOUNCEMENTS

1) Fiscal & Macroeconomic Framework

• Fiscal deficit for FY 2026-27 is targeted at 4.3 % of GDP, down from ~4.4 % previously.

• Public capital expenditure (CAPEX) increased to ₹12.2 lakh crore, up ~9 % to maintain infrastructure momentum.

2) Taxation & Regulatory Reform

• No major change in tax slabs was reported.

• Extended deadlines for filing and revising returns; simplification of compliance.

• TCS rates on overseas tour packages, education, and medical treatment abroad reduced to 2 % under LRS

• Minimum Alternate Tax (MAT) reduced to 14 % and made a final tax in certain cases.

• Tax holiday till 2047 for foreign companies offering cloud services from Indian data centres.

3) Infrastructure & Connectivity

• Seven high-speed rail corridors proposed

• Dedicated freight corridor linking Dankuni ↔ Surat to improve cargo logistics.

• 20 new National Waterways to be operationalised for inland and coastal shipping.

• Infrastructure Risk Guarantee Fund established to de-risk private investments.

4) Economic & Industrial Policy

• India Semiconductor Mission 2.0 to build domestic semiconductor ecosystem with expanded outlay of 40000 Crores.

• “Biopharma SHAKTI”: ₹10,000 crore to build India as global biopharma hub.

• Chemical parks (3) and mega textile parks announced to boost manufacturing.

• Incentives for critical mineral processing (15 % capital subsidy, customs waivers).

• ₹10,000 crore SME Growth Fund to build champion MSMEs; ₹2,000 crore added to Self-Reliant India Fund.

• Startup incentives, ESOP liquidity support, and deeper compliance support frameworks introduced.

5) Agriculture & Rural Economy

• Special schemes for coconut, cashew, cocoa, sandalwood, walnuts, almonds, and fisheries.

• 500 reservoir integrations, inland fish farming support, and AI-driven advisory (Bharat-VISTAAR).

• Rural roads expansion under PMGSY Phase-5; solar irrigation for ~1 crore farmers.

• Increased animal husbandry budget (~16 % rise) and tax deductions for cooperatives.

6) Social Infrastructure & Human Capital

• Ministry of Skill Development allocation ~₹9,885 crore, focusing on upskilling and vocational training.

• AVGC content labs in 15,000 schools and 500 colleges announced.

• Education-to-employment committee and allied health personnel training.

• Five University Townships planned

• Three new All India Institutes of Ayurveda announced

• Upgradation of WHO Global Traditional Medicine Centre at Jamnagar

• Increased allocation for health sector (~10 % rise) with emphasis on biotechnology and critical drug duty waivers.

• Initiatives like SHE-Marts for women entrepreneurship announced.

7) Environment, Energy & Climate

• Carbon Capture, Utilisation, and Storage (CCUS) scheme with ₹20,000 crore over 5 years.

• Energy initiatives include customs exemptions for battery storage and support for nuclear power.

8) Defence, Governance & Legal Framework

• Defence allocation increased (~₹7.85 lakh crore) with modernisation capital outlay and pensions.

 

 

Budget Numbers for Economy

Metric	Amount (Approx)
Total Expenditure (Budget estimate 2026-27)	₹53.5 lakh crore
Non-Debt Receipts (Revenue + Other Receipts)	₹36.5 lakh crore
Net Tax Receipts (Centre)	₹28.7 lakh crore
Fiscal Deficit Target	4.3 % of GDP
Net Market Borrowings	₹11.7 lakh crore
Gross Market Borrowings	₹17.2 lakh crore
Capital Expenditure (CAPEX)	₹12.2 lakh crore (~22 % of total)

 

Budget Allocations for Major Ministries²

Ministry	Allocation (₹ crore)
Ministry of Finance	19,72,509.48
Defence	7,84,678.28
Road Transport & Highways	3,09,875.30
Railways	2,81,377.32
Home Affairs	2,55,233.53
Consumer Affairs, Food & Public Distribution	2,39,521.37
Rural Development	1,97,023.14
Chemicals & Fertilisers	1,77,061.47
Agriculture & Farmers’ Welfare	1,40,528.78
Education	1,39,289.48
Health & Family Welfare	1,06,530.42
Communications	1,02,267.02
Jal Shakti (Water)	94,807.84
Housing & Urban Affairs	85,522.39
Science & Technology	38,260.94
New & Renewable Energy	32,914.67
Labour & Employment	32,666.31
Petroleum & Natural Gas	30,443.22
Women & Child Development	28,183.06
Electronics and Information Technology	21,632.96
Commerce and Industry	17,843.90
MSME	24,566.27
Steel	443.18