New Delhi | India is gearing up for the Union Budget 2026–27, to be presented by Finance Minister Nirmala Sitharaman on Sunday, February 1, 2026, at 11:00 AM IST—marking a historic Sunday tabling and her ninth consecutive Budget. It will also be the third full Budget of the Modi-led NDA 3.0 government, coming at a time of global economic uncertainty and rising domestic expectations.
The Budget is being framed against the backdrop of potential US tariff pressures, geopolitical shifts, and evolving global trade dynamics, while domestically the focus remains on sustaining 7–7.5 percent economic growth, advancing the vision of Viksit Bharat 2047, and maintaining fiscal discipline with the fiscal deficit projected at around 4.3–4.5 percent of GDP.
The Economic Survey for 2025–26, scheduled to be tabled on January 31, is expected to project GDP growth of about 7.3–7.4 percent, reinforcing optimism around continued public capital expenditure, reform momentum, and targeted policy support.
Middle Class Looks for Tax Relief and Simplicity
For salaried taxpayers and the urban middle class, expectations are firmly rooted in easing the pressure of rising living costs and stagnant real income growth. There is widespread anticipation of relief measures such as an increase in the standard deduction, rationalisation of income tax slabs, and extension of health insurance benefits under Section 80D to the new tax regime.
Many taxpayers are also hoping for faster income tax refunds and simplified compliance. As one tax expert reflecting middle-class sentiment noted, “The salaried class pins its hopes on every Budget, not for windfalls but for incremental relief that improves monthly cash flows.”
Farmers Seek Execution, Not Just Announcements
In rural India, farmers and agricultural households are focusing less on announcements and more on effective implementation. Key expectations include affordable institutional credit, quicker settlement of crop insurance claims under the Pradhan Mantri Fasal Bima Yojana, and lower input costs.
Investments in irrigation, storage infrastructure, cold chains, and self-sufficiency in oilseeds and pulses remain top priorities. Farmer groups have repeatedly stressed that policy success depends on ground-level delivery. “The focus should now be on execution and real impact at the farm level,” said a cooperative leader from northern India.
Youth Demand Jobs, Skills, and New-Age Opportunities
India’s youth and job-seekers are looking to the Budget for policies that translate economic growth into employment opportunities. Expectations include higher spending on skill development, stronger education-to-employment linkages, and incentives for hiring in emerging sectors such as artificial intelligence, electric mobility, renewable energy, logistics, and manufacturing.
Young professionals and students are also seeking vocational reforms and industry-aligned skilling programs. Policy analysts note that Gen Z priorities increasingly revolve around affordability, accountability, and access to future-ready jobs.
Households Want Relief on Healthcare and Essentials
For general households and vulnerable groups, the Budget is expected to address rising out-of-pocket expenses on healthcare, education, and essential services. Expansion of public healthcare infrastructure, strengthening of Ayushman Bharat, affordable housing finance, and social security measures are among the key demands.
Economists say the public mood favors stability over surprise. “People are not expecting sweeping populist measures, but they do want targeted steps that reduce everyday financial stress,” said a Delhi-based policy analyst.
Balancing Growth with Ground Realities
While industry leaders are calling for continued infrastructure spending, manufacturing incentives, and tax certainty, the common citizen’s expectations remain grounded in daily realities—lower costs, better services, and job security.
As markets await the Budget’s unveiling through special trading sessions, the February 1 presentation is expected to set the tone for India’s economic priorities in a challenging global environment. Whether the Budget delivers incremental relief and long-term security for ordinary citizens will be closely watched in the days ahead.
