Prime Minister Narendra Modi on February 1, 2026, lauded the Union Budget 2026, presented by Finance Minister Nirmala Sitharaman in Parliament, describing it as "historic" and a "high flight toward Viksit Bharat." In an address following the budget's presentation, PM Modi stated that the fiscal plan lays a robust foundation for India's journey towards becoming a developed nation by 2047, emphasizing its commitment to infrastructure, green growth, and inclusive development across all sectors.

The Prime Minister underscored the budget's forward-looking approach, designed to propel India into a new era of economic prosperity and technological advancement. He highlighted that the budget’s substantial allocation for capital expenditure would significantly boost job creation, stimulate private investment, and enhance the nation's productive capacity. "This budget reflects the aspirations of 140 crore Indians," PM Modi remarked, adding that it is meticulously crafted to benefit youth, women, farmers, and the underprivileged, ensuring no section of society is left behind in the developmental trajectory.

A central tenet of the Union Budget 2026, as echoed by the Prime Minister, is its strategic focus on sustainable growth and future-ready infrastructure. The budget outlines an aggressive push towards green energy initiatives, digital public infrastructure expansion, and innovation in emerging technologies. PM Modi specifically pointed out the increased allocations for renewable energy projects and the establishment of advanced research hubs, positioning India as a leader in sustainable development and technological innovation. He also commended the budget’s emphasis on fiscal prudence while simultaneously enabling expansive growth, stating it strikes a balance between ambition and responsibility.

The budget is also viewed as a critical step towards strengthening India's global economic standing amidst evolving international dynamics. By prioritizing domestic manufacturing, enhancing supply chain resilience, and fostering an environment conducive to investment, the government aims to solidify India's position as a preferred global investment destination. The Prime Minister reiterated the government’s resolve to build a modern India, equipped with world-class facilities and a digitally empowered populace.

Key provisions and targets highlighted in the Union Budget 2026 include:

  • Total Outlay: An estimated ₹48.50 lakh crore (approximately $580 billion), representing a 9% increase over the previous fiscal year's revised estimates.
  • Capital Expenditure: A significant allocation of ₹18.25 lakh crore (approximately $219 billion), marking a 22% increase from the previous budget, with a focus on roads, railways, ports, and urban infrastructure development.
  • Fiscal Deficit Target: Projected at 4.5% of GDP for the fiscal year 2026-27, demonstrating a commitment to fiscal consolidation.
  • Green Growth Initiatives: Allocation of ₹1.50 lakh crore towards schemes promoting green hydrogen, solar power grid integration, and sustainable urban mobility projects.
  • Digital Public Infrastructure: An increased investment of ₹75,000 crore for further expanding digital payment systems, Aadhaar-linked services, and a national data governance framework.
  • Inclusive Development: Enhanced funding for schemes targeting rural housing, drinking water, healthcare access in remote areas, and skill development programs for youth.
  • Economic Growth Projection: The budget document projects India's GDP growth rate to be between 7.0-7.5% for the upcoming fiscal year, driven by strong domestic demand and public investment.

The Union Budget 2026, following its presentation, will now proceed through parliamentary deliberations and approval processes. Economic analysts, industry bodies, and various stakeholders are expected to offer detailed commentaries and assessments in the coming days regarding its potential impact on different sectors and the broader economy, setting the stage for its subsequent implementation across the nation.