India’s general budget will be presented today
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Budget 2026: Today is a historic morning for the Indian economy. The date of February 1 is not just a page in the calendar, but is the biggest test of the economic health of the country. When Finance Minister Nirmala Sitharaman climbs the stairs of the Parliament House, she will not only have the country’s ledgers in her hands, but will also have a new record. She is going to present the ninth consecutive budget, which is a record in itself. But this time the matter is not limited to the country only, from the White House of America to the Parliament of Britain and the Kremlin of Russia, the eyes of all the superpowers of the world are fixed on India today. After all, everyone is desperate to know what will be the next step of the world’s fastest growing economy.
From red ledger to digital flight
The year 2019, when Nirmala Sitharaman abandoned the leather briefcase of the British era and adopted the red colored traditional ‘Bahi-Khata’. That was a sign that India is moving forward by connecting with its roots. Today, giving the same tradition the guise of modernity, like the last four years, this time too the budget will be presented completely ‘paperless’ i.e. in digital form. This change is not just a method, but a symbol of the digital resolve of New India. It is expected that the government can make some reforms regarding customs duty, which can have a direct impact on the market and your expenses.
The economic health of the country is determined by ‘fiscal deficit’
For the common man, the meaning of budget is often limited to tax exemption or expensive and cheap things, but the economic health of the country is decided by ‘Fiscal Deficit’. This is the difference between the income and expenditure of the government. In the current financial year (2025-26), the government had estimated it to be limited to 4.4 percent of GDP. Now the markets and economists are curious to see whether the Finance Minister will make a bold announcement of reducing it to 4 percent for the next year (2026-27)? If this deficit reduces, it directly means that the debt burden on the country will reduce and the economy will become stronger.
The government had made a budget to borrow about Rs 14.80 lakh crore from the market to meet its needs in the financial year 2025-26. The more this borrowing figure remains controlled, the better the economic rating of the country will be. Apart from this, the government aims to gradually bring the debt to GDP ratio to 60 percent, which is much higher than this at present.
Treasury will open its mouth on infrastructure
Private investors are still a little reluctant to invest money in the market, in such a situation the government itself is taking the responsibility of spending. In the current financial year, the government had kept Rs 11.2 lakh crore for infrastructure. There is news that this time it can be increased by 10 to 15 percent. This means that the government can spend more than Rs 12 lakh crore only on infrastructure. When the government injects so much money into the market, it creates new employment opportunities and increases demand in every sector, from cement to steel.
New pace of development going on in the country
Now let’s talk about that front which is directly related to your pocket, tax. In the financial year 2025-26, the government had set a target of earning Rs 42.70 lakh crore from taxes, which is 11 percent more than last year. The contribution of GST in this is also continuously increasing. It is estimated that GST collection may increase to Rs 11.78 lakh crore.
Talking about growth rate, India’s engine is at full speed. The growth rate of GDP (at current prices) for the financial year 2026-27 is estimated to be between 10.5 to 11 percent. The signs are auspicious for the economy as inflation remains under control. Overall, today’s budget will decide how far India is going to take a leap towards becoming a 5 trillion dollar economy.
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