Union Budget 2026 LIVE: Cabinet clears Budget for FY27; focus on growth, fiscal prudence
Union Budget 2026–27 approved; FM Sitharaman to present 9th Budget with focus on growth, fiscal discipline and reforms amid global trade pressures.
Union Budget 2026 LIVE
The Union Cabinet has approved the Union Budget for 2026–27, setting the stage for Finance Minister Nirmala Sitharaman to present her ninth Budget in Parliament today. Notably, this marks the first time the Union Budget is being presented on a Sunday.
The Budget is widely expected to outline measures aimed at sustaining India’s growth momentum while maintaining fiscal discipline. It is also likely to include reform-oriented steps designed to shield the economy from global trade uncertainties, including tariff pressures from the United States.
Ahead of the presentation, Ms. Sitharaman was seen at the Finance Ministry in New Delhi along with Minister of State for Finance Pankaj Chaudhary and senior officials.
The policy direction of the Budget comes against the backdrop of the Economic Survey 2025–26, tabled in Parliament on January 29 by the Finance Minister. Authored by Chief Economic Advisor V. Anantha Nageswaran, the Survey projected India’s GDP growth for the current financial year (2025–26) at 7.4%, with a “nowcast” estimate of 7% for the third quarter (October–December 2025).
For 2026–27, the Survey has pegged growth in the range of 6.8% to 7.2%, while underscoring the need for fiscal flexibility at the Centre and cautioning States about deteriorating financial positions.
As Parliament awaits the Budget speech, attention remains on how the government balances growth support, fiscal consolidation, and structural reforms in an increasingly uncertain global environment.
Live Updates
- 1 Feb 2026 11:36 AM IST
India to roll out Semiconductor Mission 2.0, boost electronics manufacturing push
Building on the momentum of the first phase of the India Semiconductor Mission (ISM), the government is set to launch ISM 2.0 with a broader and more integrated focus on strengthening the country’s semiconductor ecosystem.
The next phase of the mission aims to expand beyond chip fabrication to include the domestic production of semiconductor equipment and critical materials, alongside efforts to develop full-stack Indian technology capabilities. The initiative will also seek to fortify supply chains, reduce import dependence and position India as a more resilient player in the global electronics value chain.
- 1 Feb 2026 11:30 AM IST
GST collections rise 6.2% to over ₹1.93 lakh crore in January
India’s gross Goods and Services Tax (GST) collections increased 6.2% year-on-year to over ₹1.93 lakh crore in January, driven largely by higher revenues from imports.
Refunds during the month declined 3.1% to ₹22,665 crore, even as net GST revenues — after adjusting for refunds — rose 7.6% to around ₹1.71 lakh crore.
Cess collections in January stood at ₹5,768 crore. This is lower than the ₹13,009 crore collected in January last year, when a cess was imposed on luxury, sin and demerit goods such as automobiles and tobacco products.
- 1 Feb 2026 11:26 AM IST
#WATCH | On #UnionBudget2026, Congress MP Priyanka Gandhi Vadra says, "I don't have much expectations, but let's see."
#WATCH | On #UnionBudget2026, Congress MP Priyanka Gandhi Vadra says, "I don't have much expectations, but let's see." pic.twitter.com/S6bweRs3Ss
— ANI (@ANI) February 1, 2026 - 1 Feb 2026 11:16 AM IST
#UnionBudget2026 | Kiren Rijiju calls it a “historic Budget,” says PM’s Reform Express will accelerate the journey toward Viksit Bharat.
#UnionBudget2026 | Union Minister Kiren Rijiju says, "It will be a historic budget. The PM's 'Reform Express' will move forward speedily towards Viksit Bharat." pic.twitter.com/GPjAUzfdZj
— ANI (@ANI) February 1, 2026 - 1 Feb 2026 11:06 AM IST
Key numbers to watch in the Union Budget
As the Union Budget is presented, several crucial macroeconomic indicators will be closely tracked to assess the government’s fiscal strategy and growth priorities.
Fiscal Deficit: For the current financial year (April 2025–March 2026, or FY26), the fiscal deficit — the gap between government expenditure and revenue — has been budgeted at 4.4% of GDP. This figure will be central to evaluating the government’s commitment to fiscal consolidation.
Capital Expenditure: Public investment remains a key pillar of the Centre’s growth strategy. Capital expenditure for FY26 has been pegged at ₹11.2 lakh crore, and the government is expected to sustain its emphasis on infrastructure and asset creation in the upcoming Budget as well.
Debt Roadmap: In her 2024–25 Budget speech, Finance Minister Nirmala Sitharaman had outlined a medium-term fiscal framework under which, from 2026–27 onwards, policy would aim to ensure that the Central government debt declines as a percentage of GDP. Markets will watch for clarity on this glide path.
Tax Revenue: The 2025–26 Budget had projected gross tax revenues of ₹42.70 lakh crore, marking an 11% increase over FY25. Revised estimates and fresh targets will indicate the strength of revenue mobilisation.
Nominal GDP: Nominal GDP growth for FY26 — which combines real growth and inflation — was estimated at 10.1%. Meanwhile, the National Statistical Office (NSO) has projected real GDP growth at 7.4%, forming the base for several fiscal calculations.
