Union Budget 2026: Fiscal deficit target lowered to 4.3%
India's Union Budget 2026 just dropped, with the spotlight on building stuff—think more spending on roads, railways, defense, and telecom.
The government plans to boost capital investment by nearly 12% in FY27 (2026-27) — in the coming fiscal year (starting April 2026) — while aiming to shrink the fiscal deficit a bit (from 4.4% to 4.3% of GDP).
Basically, they're trying to balance bigger investments with smarter spending.
Focus on infrastructure, defense, and telecom
This budget is all about powering up India's future—there's a huge jump in funding for telecom (up 97%), plus solid increases for defense, railways, and highways.
To get private players interested too, there are new incentives like an Infrastructure Risk Guarantee Fund and perks for cities raising money through municipal bonds.
The big idea? More public spending now will hopefully spark more jobs and long-term growth down the road.