Budget 2026 Updates: Budget inspired by 3 kartavyas, says FM Nirmala Sitharaman

Budget 2026 Live Updates: Presenting her ninth Union Budget, Finance Minister Nirmala Sitharaman said the proposals are aimed at accelerating growth, addressing public aspirations, and driving inclusive development.

Key announcements so far include a ₹40,000 crore push to scale up electronic components manufacturing and a ₹10,000 crore allocation to strengthen the biopharmaceuticals sector.

In a notable move, people of Indian origin living overseas have been permitted to invest in Indian equities through the Portfolio Investment Scheme, with the individual limit raised from 5% to 10% and the overall cap increased from 10% to 24%.

The government’s plan to set up five new medical tourism hubs sparked a rally in hospital stocks, including Apollo, Fortis, and Metropolis Healthcare.

Significant allocations have also been earmarked for seven new high-speed rail corridors, additional dedicated freight corridors, and the development of a domestic container manufacturing ecosystem.

Live Takeaways

Tax holiday till 2047 for any global co providing cloud services to global clients using Indian data centres

FM proposes provide to provide tax holiday till 2047 to any foreign company that provides cloud services to customers globally by using data center services. However, it will need to provide services to Indian customers through an Indian reseller entity.

IT services companies who want to conclude advance pricing agreement process for IT services and endeavor to conclude it within a period of two years

FM announces to introduce She-Mark for women entrepreneurs

Introduce She-Mark for women entrepreneurs to help access to credit linked products and innovative financial instruments

Khelo India mission to be launched, says FM

FM proposes to develop 15 archeological sites including Sarnath and Hastinapur into vibrant, cultural destinations

FM: Digital knowledge Grid will be established to document all places of significance, will create new ecosystem of jobs for local researchers, historians and technology partners

Khelo India mission to be launched: FM

Boost to tourism

National Institute of Hospitality to bridge gap between academia, industry and govt. Other announcements include upskilling guides, enhance trekking experience in some states, Turtle trail, Birdwatching trail and 15 archaeological sites.

FM proposes ₹10,000 crore SME growth fund

The Finance Minister has proposed ₹10,000 crore SME growth fund to enable the growth of “select” small and medium enterprises. However, the minister did not specify qualifying criteria for this fund.

Additionally, she has also proposed topping the Self-Reliance India fund with another ₹2,000 crore to support micro-enterprises.

MSME/SME boost

Union Budget for FY27 proposes Rs 10,000 crore SME fund. Mid-sized and smaller banks to benefit.

Standing Committee to recommend measures that focus on services sector towards Viksit Bharat

FM: Government has decided to place a renewed emphasis on the service sector to provide a pathway to fulfilling aspirations of a youthful India. FM proposes to set up a high powered education to employment Standing Committee to recommend measures that focus on services sector towards Viksit Bharat

FM on artificial intelligence

Sitharaman proposes to set a high-powered education to employment and enterprise innovation standing committee to recommend measure that focus on services sector

Ninth budget of FM Sitharaman places emphasis on cutting-edge sectors

Ninth budget of FM Sitharaman places emphasis on cutting-edge sectors such as semi-conductors, rare earth minerals, biopharma. Setting up mega textile parks, support for MSMEs.

FM proposes scheme to strengthen khadi and handicrafts textiles

FM announces textile labour incentive scheme and national handloom and handicrafts programme in Budget

FM proposes setting up mega textile parks in challenge mode

FM proposes scheme to strengthen khadi and handicrafts textiles

Mahatma Gandhi Gram Swaraj Initiative to be launched: FM

Rejuvenation of 200 legacy industrial clusters: FM

FM: India has the potential to emerge as a global hub for sports goods

Rejuvenation of 200 legacy industrial clusters: FM

Rs 10,000 crore SME growth fund to create champions among MSMEs, says FM

Rs 10,000 crore SME growth fund to create champions among MSMEs: FM FM proposes a three-pronged approach to help MSMEs grow - equity support via MSME growth fund

FM also proposes to top up self-reliant Indian Fund with Rs 2,000 crore

Capex to be increased to Rs 12.2 lakh crore, announces FM

Capex to be increased to Rs 12.2 lakh crore

Capex allocation to continue momentum in infrastructure spending

FM proposes infrastructure risk guarantee fund for credit guarantee for lenders

To establish new dedicated freight corridors

Propose to recycle assets of CPSE by setting up dedicated REITs

FM proposes to operationalise 20 new waterways starting with one in Odisha

Public capital expenditure has increased manifold, from Rs two lakh crore in 2014-15 to an allocation of Rs 11.2 lakh crore in BE 25-26. In this coming year, that is financial year 2026-27 Budget proposes to increase it to Rs 12.2 lakh crore, to continue the momentum

FM proposes developing seven high speed rail corridors between cities - Mumbai to Pune, Pune to Hyderabad, Hyderabad to Chennai, Delhi to Varanasi, Varanasi to Siliguri

FM: Carbon capture utilization and storage technologies will achieve higher readiness and an end use application across five industrial sectors, including power, steel, cement, refineries and chemicals. An outlay of Rs 20,000 crore is proposed over the next five years

FM proposes developing seven high speed rail corridors between cities - Mumbai to Pune, Pune to Hyderabad, Hyderabad to Chennai, Delhi to Varanasi, Varanasi to Siliguri

Banking sector is characterised by strong balance sheet, improved asset quality and coverage exceeding 98% of villages in India: FM

Electronic Components Manufacturing Scheme outlay increased to Rs 40,000 crore

FM: I propose Bio Pharma Shakti with a proposal of Rs 10,000 crore for next 5 years

FM: Electronic Components Manufacturing Scheme outlay increased to Rs 40,000 crore

Rare earth permanent scheme, Tamil Nadu to be supported for rare earth corridor among other states: FM

Propose to support Orissa Kerala Andhra Tamil Nadu to establish critical mineral corridors

Cutting edge technologies, including AI, can serve as growth multipliers, says FM

We are inspired by three kartavya: accelerate and sustain economic growth, fulfill aspirations of people and build capacity and third is to ensure that every family community region has access to resources: FM

Requirement to sustain the momentum of structural reforms

The first requirement is to sustain the moment of momentum of structural reforms, continuous, adaptive and forward looking.

Cutting edge technologies, including AI, can serve as growth multipliers

Over 350 reforms have been rolled out; reforms express is well on its way