Budget will enhance India's global competitiveness, says India Inc

India Inc on Sunday termed Union Budget 2026-27 as a budget for the real economy that focuses on enhancing India's competitiveness in the world, while underscoring the country's commitment to a structural reform-led economic roadmap.

Industry leaders welcomed steps announced by Finance Minister Nirmala Sitharaman, such as raising capital expenditure to Rs 12.2 lakh crore for FY27, establishing a dedicated Rs 10,000 crore SME growth fund and launching Biopharma Shakti with an outlay of Rs 10,000 crore over five years, among several other steps that would help the country towards self-reliance and inclusive growth.

Terming it as "a budget for the real economy", Kotak Mahindra Bank, Founder & Director Uday Kotak, in a post on X said, "Welcome increase in defence spend. Broad fiscal discipline continues. Works on balancing between financialisation of the economy, and focused development of diverse, deep India in the long term."

Similarly, Vedanta Group Chairman Anil Agarwal said it is a growth-oriented Budget, with a clear focus on increasing public capital expenditure and boosting manufacturing.

"It is a Budget which creates opportunities for youth to improve their livelihoods, women to become financially independent and for employment-intensive sectors like medical tourism to take off," he added.

Mahindra Group CEO & MD Anish Shah said the Budget focuses on enhancing India's competitiveness in the world, takes meaningful steps towards Atma Nirbharata and enables a wider participation in the benefits of economic growth.

"We particularly welcome the significant increase in capital expenditure to Rs 12.2 lakh crore for FY27, which underscores an unambiguous policy focus on infrastructure, regional development and job creation across the country," he said.

This would play a pivotal role in crowding in private investment, enhancing productivity and supporting the growth of tier-2 and tier-3 cities as emerging economic hubs, he added.

Overall, he said, "Budget 2026 signals continuity in policy direction, a firm commitment to sustainable and inclusive growth, and efforts to unlock India's economic potential at scale. We believe these measures can accelerate innovation, enhance value-added manufacturing and strengthen India's standing in the world."