<h1>2026-27 budget balances growth and fiscal discipline, prioritising capital expenditure and infrastructure-led development.</h1> The 2026-27 budget balances growth promotion with fiscal discipline, projects 7.4% GDP growth, and cites low inflation (April-December 2025 average ~1.7%). It prioritises public investment, announcing total capital expenditure of ~Rs 12.2 lakh crore-over 430% above 2013-14-with major increases for highways, defence, health, and education; describes infrastructure spending as a GDP multiplier and underscores defence indigenisation, expansion of higher education and medical institutions, and enhanced transport connectivity.