India’s economic trajectory marked by stability, says FM Sitharaman as she presents Union Budget 2026-27

NEW DELHI: Finance Minister Nirmala Sitharaman on Sunday rose in the Lok Sabha to present the Union Budget 2026-27. She is presenting her ninth consecutive Union Budget.

Speaking in the House, the FM said, “Since we assumed office 12 years ago. India’s economic trajectory has been marked by stability. This government led by PM Modi has chosen action over ambivalance, reform over rhetoric. We have pursued far-reaching structural reforms, fiscal prudence and monetary stability, while maintaining a strong thrust on public investment”.

“Today, we face an external environment in which trade and multilateralism are imperiled. And access to resources and supply chains are disrupted. New technologies are transforming production systems while sharply increasing demand on water, energy and critical minerals. India will continue to take confident steps towards Viksit Bharat by balancing ambition with inclusion”, she added.

The Finance Minister also laid on the table two statements under Section 3(1) of the Fiscal Responsibility and Budget Management (FRBM) Act, 2003. These include the Medium-term Fiscal Policy-cum-Fiscal Policy Strategy Statement and the Macro-Economic Framework Statement.

Watch Live: Smt @nsitharaman presents Union Budget 2026–27 in Parliament #ViksitBharatBudget @sansad_tv @PIB_India https://t.co/DieMezvgTp

— Nirmala Sitharaman Office (@nsitharamanoffc) February 1, 2026

While presenting the Union Budget, the Finance minister said the government has proposed targeted interventions in six areas to accelerate and sustain economic growth. In her budget speech, the minister said the government remains committed to continuing reforms and ensuring steady momentum in economic policymaking.

“The reform express is running on its way and will maintain its momentum to help us fulfill our Kartavya,” Sitharaman said while outlining the government’s approach. She said that under the first Kartavya, to accelerate and sustain economic growth, the government has identified six key areas where focused interventions will be undertaken. These interventions, she said, are aimed at strengthening the economic foundation and supporting long-term growth.

The first area highlighted by the Finance Minister is scaling up manufacturing in seven strategic and frontier sectors. She said this step is aimed at strengthening India’s manufacturing capabilities and enhancing its position in critical sectors of the economy.

The second proposed intervention focuses on rejuvenating legacy industrial sectors. Sitharaman said reviving and strengthening traditional industries remains important for sustaining growth, preserving jobs, and supporting regions that are dependent on these sectors.

The third area of intervention is the creation of champion micro, small and medium enterprises (MSMEs). The Finance Minister said MSMEs continue to play a vital role in economic activity and employment, and supporting their growth is essential for broader economic stability.

The fourth intervention announced in the budget speech is delivering a powerful push for infrastructure. Sitharaman said infrastructure development remains a key pillar for economic expansion, supporting both short-term activity and long-term productivity.

The fifth area focuses on ensuring long-term security and stability. The Finance Minister said maintaining stability is crucial for sustaining growth and building confidence across the economy.

The sixth and final area of intervention proposed is the development of city economic regions. Sitharaman said these regions will play an important role in driving economic activity and supporting growth across urban centres.

The Finance Minister said these six interventions together reflect the government’s commitment to fulfilling its Kartavya and maintaining the momentum of reforms.

Meanwhile, GST reforms, branded as ‘GST 2.0’, aimed to simplify indirect taxation through a two-rate structure of 5 per cent and 18 per cent, reduce compliance costs and lower the cost of living through rate cuts on essential goods and services.

This time, the budget document is significant, as the government is likely to focus on export growth following the United States’ imposition of a 50 per cent tariff on Indian goods. On Thursday, FM Sitharaman tabled the Economic Survey of India in Parliament for the 2025-26 financial year.

The Budget session will span 30 sittings over 65 days, concluding on April 2. The two Houses will adjourn for a recess on February 13 and reconvene on March 9 to enable the Standing Committees to examine the Demands for Grants of various ministries and departments. (ANI)