Union Budget 2026: Finance Minister Nirmala Sitharaman Set To Unveil Ninth Consecutive Budget Today; What To Expect 

Union Budget 2026: Finance Minister Nirmala Sitharaman will present the Union Budget for the 2026-27 financial year in the Lok Sabha today. Following this presentation in the Lower House, the Budget will also be tabled in the Rajya Sabha. This marks the third Budget of Prime Minister Narendra Modi’s government during its third term.

Sitharaman is set to present a record-breaking ninth consecutive Union Budget since taking office in 2019. In her speech, she will outline the government’s revenue and spending plans for the next financial year, which will include the economic vision for the year ahead, focusing on growth, employment, and fiscal stability. The current Budget session, which began on January 28, will continue until April 2.

Union Budget 2026: Key Expectations For FM Sitharaman's Ninth Consecutive Budget

- On February 1, Finance Minister Nirmala Sitharaman will present her ninth consecutive Union Budget. It is anticipated that the Budget will include measures aimed at maintaining economic growth, ensuring fiscal discipline, and introducing reforms to protect India from global trade disruptions, including those caused by US tariffs.

- This year’s Budget presentation will take place on a Sunday, a first in independent India’s history, for the fiscal year running from April 2026 to March 2027.

- The Economic Survey has projected India's real GDP growth between 6.8 and 7.2 per cent for FY27, slightly lower than the 7.4 per cent estimated for the current FY26. The projection reflects a steady growth of the economy amid ongoing global uncertainties.

- In the 2025-26 Budget, the government provided tax relief for individuals earning up to Rs 12 lakh annually. There is now speculation that the tax-free income limit could be raised to Rs 15 lakh in this year’s Budget, with possible revisions to income tax slabs as well.

- Capital expenditure is expected to remain the central focus of the Budget. In recent years, the government has significantly increased spending on roads, railways, defence manufacturing, urban infrastructure, and logistics to stimulate private investment.

- While roads and railways continue to receive significant funding, the budget is likely to focus on green energy through the Green Hydrogen Mission, nuclear power, and high-tech manufacturing like AI and robotics.

- Senior citizens are hoping the Budget will introduce higher tax exemption limits, providing relief for retirees. A key demand is for an increase in the basic exemption limit, as well as expanded tax benefits under the National Pension System (NPS). There is also a growing expectation for a comprehensive health scheme that would include provisions for in-home care.

- Over the years, the government’s allocations for agriculture have increased significantly, from Rs 21,933 crore in 2013-14 to over Rs 1.27 lakh crore in 2025-26. In the upcoming Budget, the allocation is expected to rise further to Rs 1.5 lakh crore.

ALSO READ: Sunetra's Son Parth Meets Sharad Pawar, Assures Him Of Fulfilling His Father's 'NCP Merger Wish'

- Senior citizens, who predominantly rely on savings accounts and fixed deposits for post-retirement security, currently receive a deduction of up to Rs 50,000 on interest earned from deposits in banks, post offices, and co-operative banks under Section 80TTB of the Income Tax Act. There is expectation that this deduction limit will rise to Rs 1 lakh. Additionally, the tax exemption threshold for senior citizens, currently set at Rs 3 lakh, could be increased.

- With railways being the most widely used mode of transport in India, there are calls for higher spending on capacity-building projects such as gauge conversion, track doubling, and the creation of new routes. Last year, the railway sector received Rs 2.65 lakh crore in the Budget, and this allocation is expected to increase by around 10 per cent , potentially reaching Rs 2.75 lakh crore for projects like Vande Bharat trains and the bullet train project.

ALSO READ: Budget 2026: From GDP Growth To Capital Expenditure To Unemployment Rate, Key Numbers To Watch

- As part of the government’s vision of “insurance for all by 2047”, there are ongoing discussions to reduce or eliminate the 18 per cent GST on health and life insurance premiums. A reduction to 0 per cent or 5 per cent is expected, especially for individual health policies and plans aimed at senior citizens. Furthermore, the tax deduction limit for health insurance premiums may be increased—from Rs 25,000 to Rs 50,000 for individuals and up to Rs 1 lakh for senior citizens.

- Job creation is expected to feature prominently in the Budget, with potential incentives linked to labour-intensive manufacturing, skill development, and apprenticeships.

-Schemes supporting micro, small, and medium enterprises (MSMEs), which have faced margin pressures from high input costs and tight credit conditions, may see enhanced allocations or credit-guarantee support.

- Overall, the FY27 Budget is expected to prioritise continuity over surprise. It is likely to reinforce the government’s long-term growth strategy, while addressing immediate economic risks. The markets will be watching closely to ensure that India can maintain its growth trajectory without compromising macroeconomic stability.

( With PTI Inputs )