Medical tourism hubs proposed alongside Biopharma Shakti to boost domestic biologics production and clinical trial networks.
Establish five regional medical hubs as integrated healthcare complexes combining clinical care, education and research, and launch Biopharma Shakti with a Rs 10,000 crore, five-year outlay to build domestic biologics and biosimilars capacity, create three new NIPERs and upgrade seven, establish 1,000 accredited clinical trial sites, and strengthen the central drug standards control organisation with a dedicated scientific review cadre for global-standard approvals.

Government announces one girls' hostel per district and a loan-linked subsidy for veterinary and health infrastructure.
The government announced establishing one girls' hostel in every district and a loan-linked capital subsidy scheme to support veterinary colleges, hospitals and diagnostics laboratories; it also pledged upgrades to Ayush pharmacies and drug testing labs, support for a WHO Traditional Medicine Centre at Jamnagar, and backing for five university townships near major industrial logistics centres.

Carbon capture and utilisation scheme gets Rs 20,000 crore; incentives for seaplane manufacturing and infrastructure projects announced.
The Budget allocates Rs 20,000 crore to a carbon capture and utilisation scheme covering sectors including steel and cement, paired with incentives to promote domestic seaplane manufacturing, seven high speed corridors as growth connectors, and ship repair ecosystems in Varanasi and Patna; a high level committee on Banking for Viksit Bharat will assess reform and financing needs to support these initiatives.

Municipal bond incentives proposed: Rs100 crore for single issuances over Rs1,000 crore and review of forex rules.
Proposed incentives introduce a grant of Rs 100 crore for a single bond issuance by municipal corporations for issuances over Rs 1,000 crore; structural reorganisation of REC Ltd and Power Finance Corporation to strengthen public sector finance; establishment of a high-level committee on banking policy; and a review of foreign exchange management non-debt instruments rules.

Self-Reliant India Fund topped up by Rs 4,000 crore to boost MSME equity support; TReDS mandated.
The proposal tops up the Self-Reliant India Fund with Rs 4,000 crore in 2026-27 to provide equity funding to MSMEs with potential to scale, and mandates TReDS platforms as the transaction mechanism for all central public sector enterprise purchases from MSMEs, alongside an integrated textile programme and continued infrastructure development in Tier 2 and Tier 3 cities.

Union Budget proposes Rs 10,000 crore SME fund, container manufacturing scheme, and mega textile parks.
The Budget proposes a Rs 10,000 crore SME fund to develop champion small and medium enterprises, a container manufacturing scheme to build a competitive ecosystem, revival of 200 legacy industrial clusters, mega textile parks focused on technical textiles, and an Integrated Textile Programme of five sub-parts alongside measures to strengthen khadi and handloom.

Capex target raised to Rs 12.2 lakh crore; risk guarantee fund, equipment scheme, and modular training for infrastructure planned.
The fiscal policy raises the capital expenditure target for FY27 to Rs 12.2 lakh crore and maintains a focus on infrastructure development in Tier-2 and Tier-3 cities. It establishes a risk guarantee fund for the infrastructure sector and a scheme to enhance construction and infrastructure equipment to bolster domestic manufacturing, and it supports professional institutions to design short-term modular courses to upskill the workforce.

Electronics manufacturing outlay increased to Rs 40,000 crore; schemes for tool rooms, container manufacturing and chemical parks.
Budget 2026-27 raises the electronics manufacturing outlay to Rs 40,000 crore and proposes high-tech tool rooms at two sites, a container manufacturing scheme to foster a competitive ecosystem, and three chemical parks to enhance domestic production and reduce import dependence, contextualised by recent large-scale growth in mobile manufacturing, rising exports including iPhone shipments, and approval of semiconductor projects with substantial cumulative investment.

Biopharma investment of Rs 10,000 crore announced to boost domestic biologics manufacturing and related strategic sectors.
Budget proposes a Rs 10,000 crore investment in the biopharma sector over five years with targeted interventions in manufacturing, strategic and frontier sectors, healthcare and advanced technology to boost domestic biologics production. The Budget also advances semiconductor mission 2.0 to promote production of equipment and materials for full stack Indian IP through the India Semiconductor Mission, and announces support for mineral rich states to establish critical mineral facilities.

Budget reforms will continue, targeting inclusive access to resources and growth dividends for farmers, SC/ST and youth.
The Budget commits to continuing the Reform Express agenda, implementing measures including GST adjustments, labour code enforcement and a quality control order, framed to fulfil a Kartavya duty to extend access to resources and ensure growth dividends reach farmers, scheduled castes, scheduled tribes and youth.

16th Finance Commission report laid, sets tax devolution formula for 2026-2031; cesses and surcharge excluded.
The 16th Finance Commission report for 2026-2031, laid in the Lok Sabha, sets the tax revenue devolution formula between Centre and states and confirms that cesses and surcharge levied by the Centre are excluded from the divisible pool; the Commission, constituted on December 31, 2023 and led by Arvind Panagariya, submitted its report to the President on November 17, 2025.

Union Budget 2026-27: government emphasises reforms and lays 16th Finance Commission report on tax devolution.
Finance Minister Nirmala Sitharaman presented the Union Budget 2026-27 in Lok Sabha, emphasising reforms over rhetoric and laying the 16th Finance Commission report, which establishes the framework for tax revenue devolution between the Centre and states for 2026-2031; the presentation is her ninth consecutive Budget, reflecting continuity in budgetary stewardship.

Gross GST collections rose to Rs 1.93 lakh crore in January despite September rate cuts.
Gross Goods and Services Tax receipts rose 6.2% to Rs 1.93 lakh crore in January, with net GST up 7.6% to about Rs 1.71 lakh crore after refunds fell. Domestic collections grew 4.8% and import revenues 10.1%. The September 2025 rate rationalisation - cuts on ~375 items and consolidation of slabs into 5% and 18% (with a 40% top rate for select goods) - initially reduced revenues in November but collections recovered by January; April-January gross GST totalled Rs 18.43 lakh crore, up 8.3%.

Stock markets gained ahead of the Budget, with volatility expected depending on fiscal policy, deficit target and capex incentives.
Stock market indices rose ahead of the Union Budget 2026-27 presentation, with Sensex and Nifty recovering after early fluctuations and foreign institutional purchases supporting sentiment. Market volatility was expected to hinge on Budget choices, notably fiscal policy, the fiscal deficit target for FY27, capex measures and sector-specific incentives, which could prompt sharp directional moves.

Union Budget presentation marks ninth consecutive term, focusing on growth, fiscal discipline and reform measures.
Finance Minister Nirmala Sitharaman presents a record ninth consecutive Budget, sustaining an agenda of growth, fiscal discipline, and reforms to buffer the economy from external trade shocks; the milestone is placed against historical records for budget presentations and includes contextual facts on Budget timing, date change to February 1 for fiscal-year implementation, and past extremes in budget speech length.

FY27 Budget centers on fiscal consolidation, higher capital expenditure, borrowing plans, and revenue assumptions for deficit management.
The FY27 Budget centers on continued fiscal consolidation with an estimated FY26 fiscal deficit of 4.4% of GDP and market focus on a potential FY27 target near 4%. Capital expenditure-budgeted at Rs 11.2 lakh crore with an expected 10-15% increase-will remain elevated to support investment. Gross borrowing plans, tax revenue (direct and indirect) projections, GST growth tied to recent rate changes, dividend receipts and subsidy allocations materially influence deficit outcomes. A debt roadmap guiding a decline in general government debt-to-GDP is anticipated.

Finance Minister meets President before presenting the Union Budget, prioritising growth, fiscal discipline and targeted reforms.
Finance Minister Nirmala Sitharaman observed the customary protocol of meeting the President and obtaining Cabinet approval before presenting the FY27 Union Budget; the Budget is expected to prioritise sustaining growth, enforcing fiscal discipline, and pursuing reforms while addressing pressures to boost consumption, create jobs and raise capital spending against global macroeconomic uncertainties.

Union Budget coverage dominates the national news schedule, with state reactions and regional political events highlighted.
National news schedule for February 1 directs primary coverage to the Union Budget and state-by-state reactions, alongside political developments, party briefings, and regional items such as official visits, inaugurations, protests, health-project launches, and human-interest stories.

Tax and customs reform in Finance Bill 2026 broadens compliance rules, revises exemptions, and introduces a foreign assets disclosure scheme.
The Finance Bill, 2026 gives effect to the Central Government's financial proposals for 2026-27 and proposes wide-ranging amendments across direct taxes, indirect taxes and related procedural provisions. It revises rates, surcharge structures, definitions, timelines, penalty and immunity rules, and also introduces a new Foreign Assets of Small Taxpayers Disclosure Scheme, 2026 for voluntary declaration of undisclosed foreign income or assets, with specified payment, immunity and exclusion provisions. The Bill further amends customs, GST, IGST, securities transaction tax and black money provisions, together with accompanying rule-making powers.

GST collections rose in January, while September 2025 rate cuts and narrowed compensation cess changed revenue composition.
Gross GST collections rose 6.2% to over Rs 1.93 lakh crore in January and net GST revenues grew 7.6% to about Rs 1.71 lakh crore, while refunds declined 3.1% to Rs 22,665 crore. Domestic transaction collections increased 4.8% to Rs 1.41 lakh crore and import revenues rose 10.1% to Rs 52,253 crore. A policy change effective 22 September 2025 reduced GST rates on about 375 items and restricted the compensation cess to tobacco-related products, altering revenue composition and lowering cess receipts compared with the prior year.