Mohammad Athar Saif, Partner and Leader CP&I and Industrial Development, PwC India–
“The Budget has done an excellent job of balancing immediate and long-term job creation by placing the integration of infrastructure and manufacturing at its core. An infrastructure outlay of 12.2 lakh crore—representing a 9% increase—reinforces the government’s sustained focus on meeting India’s evolving infrastructure needs. Cities continue to be positioned as key growth engines, with a proposed scheme that will provide funding support of ?5,000 crore per city as per their economic regions for all cities with populations above 5 lakh, and a strong emphasis on urban mobility through seven new high-speed connectivity corridors, which could collectively strengthen the economic aspirations of urban India.
On the manufacturing front, the announcement of Semiconductor Mission 2.0, enhanced support for the electronics components scheme, plans to revitalise 200 industrial clusters, and a focused push on critical minerals could significantly strengthen India’s manufacturing ecosystem and accelerate the country’s transition into a competitive global destination. This could also develop India’s self-reliance for emerging industries such as semiconductors, electronics, and advanced batteries, and advance the government’s vision of Viksit Bharat@2047.“
Sujay Shetty, Managing Director (ESDM & Semiconductor), PwC India-
“As someone who is deeply invested in India’s tech ecosystem, I warmly welcome the Union Budget 2026–27’s visionary and strategic advancements for the electronics and semiconductor sector. The launch of ISM 2.0 represents a transformative step forward, prioritising domestic production of equipment and materials, full-stack design capabilities, the development of Indian IP, the fortification of the supply chain, intensified industry-led R&D, and a robust, skilled workforce through dedicated training initiatives. This comprehensive framework could significantly elevate India’s role in the global semiconductor value chain.
The government’s forward-looking focus on promoting mining, processing, research, and manufacturing of rare earth minerals, through dedicated corridors in the mineral-rich states of Odisha, Kerala, Andhra Pradesh, and Tamil Nadu, is equally commendable. This initiative could address critical supply chain vulnerabilities and strengthen the country’s self-reliance in essential inputs for high-tech industries.
Complementing these efforts, the additional ?40,000 crore outlay for the Electronics Components Manufacturing Scheme (ECMS) could catalyse substantial investments, enhance domestic value addition, generate high-quality employment, and solidify India’s emergence as a global leader in electronics manufacturing and innovation.”
Ranen Banerjee – Partner and Leader, Economic Advisory, PwC India
“The theme of the Budget can be summarised as consolidation, rationalisation, and incentivisation – consolidation of ongoing schemes, rationalisation of overlapping schemes, and incentivisation of business, individuals, and entrepreneurs through further ease of doing business.
Given the fiscal constraints, the Budget was on expected lines with the fiscal deficit for FY26 being met and the FY27 target being just 10 bps lower with the debt- to- GDP ratio targeted to be lowered by 50 bps. Job creation is a cross-cutting theme, with interventions and further momentum through creation of a cadre of Corporate Mitras, training of tourist guides, veterinary, hospitality, and allied healthcare professional skilling, and development of tourist circuits and specialised tourist trails.”
Sujay Shetty, Partner and Leader – Health Industries, PwC India
“Union Budget 2026–27 sends across a powerful statement of intent for India’s biopharma sector. The focus on supporting both patient and industry needs through key pillars strengthening biomanufacturing, expanding skills development via additional NIPERs, and accelerating approval timelines signals a clear commitment towards improving ease of doing business through regulatory capacity building and faster decision-making.
Another significant aspect of this year’s Budget is the strong emphasis on medical tourism. By positioning India as a trusted global destination for high-quality, affordable care, the Budget reinforces the sector’s potential both as a growth engine and as a contributor to India’s global healthcare leadership.
Equally encouraging is the much-needed focus on Ayurveda and wellness. By providing targeted support to help the sector build scale and global competitiveness, the government recognises India’s unique strengths in the pharma sectorand opens new opportunities for innovation, exports, and job creation.
Taken together—across biopharma, medical tourism, Ayurveda, wellness, and skills building—these proposals make this a truly forward-looking Budget that will take India well on its way to achieving the goals of a Viksit Bharat.”
Sambitosh Mohapatra, Partner and Leader, Climate and Energy, PwC India
“India’s latest Union Budget marks a decisive shift from chasing capacity targets to building true system resilience. It signals a bold ambition: to lead the global green industrial revolution.
The launch of the ₹20,000 crore CCUS Mission and the SMR Nuclear Mission shows that the government is directly addressing hard-to-abate sectors that define the next frontier of decarbonisation. The restructuring of Power Finance Corporation (PFC) and Rural Electrification Corporation (REC) is a transformative move—unlocking deep capital pools which are critical to powering the ₹12.2 lakh crore capex cycle.
At the same time, focus on the semiconductor ecosystem, critical mineral corridors, and permanent magnet manufacturing tackles the biggest vulnerability in the clean energy transition: supply chain sovereignty. For the industry, extended customs duty exemptions for Battery Energy Storage System (BESS) and a simplified Income Tax Act offer predictability and a clearer fiscal runway.
This isn’t just a green budget—it’s a competitive industrial strategy. One that positions India as a global hub for cleantech and biopharma innovation, while maintaining fiscal discipline with a 4.3% deficit. India is no longer merely participating in the energy transition but is positioning itself to shape it.”
Manpreet Singh Ahuja, Chief Client Officer and TMT Leader, PwC India
Media & Entertainment
“For media and entertainment, the ‘Orange Economy’ push—especially AVGC content creator labs across 15,000 schools and 500 colleges— could create a pipeline for India to lead in content, gaming, and immersive storytelling. Taken together, these measures can strengthen the TMT flywheel—better infrastructure, better innovation, better trust, and better growth—thereby accelerating India’s Viksit Bharat goals.”
Technology
“Union Budget 2026–27 is a clear signal that India wants to be a producer of digital value. The Budget strengthens the foundations of a future-ready digital economy through three big moves: building global-scale digital infrastructure, deepening ‘trust by design’ in governance, and accelerating talent creation for the next wave of technology-led growth. For the technology ecosystem, the most significant announcement is the intent to make India a global hub for cloud and data infrastructure, via a tax holiday till 2047 for foreign companies providing global cloud services using India-based data centre capacity. This move, coupled with a more predictable tax and compliance regime for IT services, reduces uncertainty, improves capital confidence, and enables faster global scaling for India.”
Telecom
“For telecom and connectivity-led businesses, the direction is clear: capital efficiency improves when regulation simplifies, supply chains strengthen, and domestic electronics capacity expands. ISM 2.0 and the expanded Electronics Components Manufacturing Scheme could reinforce the device-to-network stack, and create a stronger backbone for the next-generation enterprise and consumer use cases.”
Gayathri Parthasarathy, Partner and Leader – Financial Services, PwC India
“Union Budget 2026–27 reinforces the government’s dual priority of sustaining growth while maintaining fiscal discipline. Continued high capital expenditure in infrastructure, manufacturing, digital public infrastructure, and energy transition is expected to crowd in private investment and strengthen India’s long-term growth trajectory.
A key highlight is the strong emphasis on financial sector reforms. The banking system was described as healthier and more resilient—with improved asset quality, stronger balance sheets, and rising profitability. A high-level committee on banking has been proposed to align the sector with India’s next growth phase and help in achieving Viksit Bharat goals. This committee will undertake a comprehensive review of the banking sector’s structure, governance, and future readiness to meet India’s expanding credit needs, while safeguarding stability and consumer interests.
Public sector banks are set to see further governance and technology-driven reforms aimed at improving efficiency and competitiveness. The Budget also includes the restructuring of Power Finance Corporation (PFC) and Rural Electrification Corporation (REC), alongside a comprehensive review of the Foreign Exchange Management (FEMA) (non-debt instruments) Rules.
Additionally, the Budget underscores the growing role of non-banking financial companies (NBFCs) in expanding credit access and calls for deeper insurance penetration. It further provides an incentive of ?100 crore for single issuance of municipal bonds of more than ?1,000 crore and introduces a market-making framework and total return swaps on corporate bonds—supported by tax measures such as raising the STT on futures from 0.02% to 0.05% and increasing STT on options premium and exercise of options to 0.15% from 0.1% and 0.125%, respectively.
Together, these measures point to a reform-led push to build a stronger, more inclusive financial ecosystem.”
Manish Sharma, Sector Leader – Infrastructure, Transport and Logistics, PwC India
“After more than 30% increase in capex between FY23 and FY25, the budget has now settled down to a modest growth of around 11% in FY26 and now to 9% for FY27. The emphasis is now shifting towards enabling better execution. Launch of initiatives like a partial credit guarantee mechanism is one such intervention, where a large number of new project developers are entering into PPP opportunities, with the likelihood of user charge-based PPP projects like toll roads gaining traction, this could increase the risk profile for lenders and impact financial closures. Therefore, credit guarantee mechanisms should address the concerns of lenders; however, these mechanisms need to work before the default and not after a default has occurred.
Setting up seven new high-speed rail corridors and DFCs is another welcome step; however, launching these developments needs to be tied down to iron-clad, irrevocable state government commitments on aspects like land, first and last mile access arrangements, and security to ensure time-bound execution.
REITs for surplus CPSE lands are a long-overdue intervention; if effectively implemented, it could lead to a significant asset monetisation opportunity. The focus on creating a domestic capability in construction and infrastructure equipment and container manufacturing is a positive move to address the vulnerability that supply chain disruptions can cause to the country’s infrastructure and trade agenda.
Finally, the creation of City Economic Regions is a welcome step to check the unplanned and uncontrolled proliferation of Tier 2 and 3 cities and, capitalise on the economic opportunities they present, though this will require reforms to happen in tandem with creation of CERs, inclusion of peri-urban regions in municipal limits, recognising industrial clusters as an integral part of city planning, and extending reliable and quality municipal services to such regions.”
Shashi Kant Singh, Partner -Agriculture – Food – Agribusiness, PwC India
“Budget 2026-27 underscores India’s commitment to enhancing agricultural innovation, improving export competitiveness, and promoting women’s empowerment in agriculture—key pillars of the Viksit Bharat strategy. Focused support for high-value crops, along with special incentives for the fisheries and dairy sector, aims to augment farm incomes while strengthening India’s global agricultural competitiveness and boosting exports.”
Arvind Chandra, Whole Time Director & CEO Tenneco India
“The Union Budget 2026–27 provides a strong growth-oriented platform for India’s auto components and manufacturing sectors, with a clear emphasis on competitiveness, infrastructure investment, and resilient supply chains. The allocation of ₹12.2 lakh crore towards infrastructure development, including highways, logistics, and urban infrastructure, will create a significant multiplier effect on vehicle demand, directly benefiting the auto components ecosystem. A strategic focus on policy stability and export competitiveness will further strengthen supply chains and generate employment across the value chain. Measures supporting clean mobility and sustainable technologies, including incentives for EV supply chains and battery manufacturing, are welcome steps toward a balanced transition. We believe this Budget will catalyse long-term investments in technology, localisation, and clean mobility solutions, reinforcing India’s position in advanced automotive engineering and emission control.”
Abhay Parnerkar, CEO, Godrej Foods Ltd
“The Union Budget 2026 reflects a strong and welcome focus on strengthening India’s Agri and animal husbandry ecosystem. The government’s push towards credit-linked support for animal husbandry, the development of farmer-producer organizations, and integrated approaches to improving farmers’ incomes will go a long way towards reinforcing resilient, future-ready food value chains. At Godrej Foods Ltd, our farm-to-fork model is built on deep partnerships with farmers, who remain central to everything we do, from quality and traceability to consumer trust. Continued investment in agricultural infrastructure, innovation, and manufacturing capabilities not only empowers farmers but also enables food brands to deliver safe, nutritious, and responsibly produced food to Indian households. These measures signal a positive step towards building a more sustainable and inclusive food economy.”
Kadwin Pillai, Managing Director of Transworld Educare
“Budget 2026 reflects a strong commitment to inclusive and aspiration-led growth through the Government’s three Kartavyas, with a clear focus on empowering youth and strengthening access to healthcare and education. Initiatives to upgrade allied health institutions, train caregivers, establish regional medical hubs, and strengthen the AYUSH ecosystem signal a long-term vision to position India as a global hub for medical education and medical value tourism. Measures such as the reduction in TCS on overseas education and medical studies further ease access for students and families aspiring to global-quality healthcare education.”
Santosh Iyer, MD & CEO, Mercedes-Benz India.
“Budget’s strong focus on infrastructural development, with addition of Rs 1 lakh crore in capex, is a step in the right direction, developing the country’s evolving mobility ecosystem. Better highways and improved intercity connectivity have historically driven luxury car demand in India. The fiscal prudence reflected in the 4.3% deficit target, combined with a strong focus on exports, sends a strong signal of macroeconomic stability, which may lead to a less volatile currency. Overall, the emphasis of the budget is on strengtheningthe ease of doing business, and the deferral of customs duty payments up to 30 days can improve cash flow significantly. This budget primarily focuses more on long-term gains, rather than immediate ones.”
Veena Khandke, SVP, Managing Director, Ensono (India)
“The Union Budget 2026 represents the Government of India’s bold commitment to positioning the IT services sector as the cornerstone of ‘Viksit Bharat.’ As a global leader in cloud migration, mainframe modernization, and digital transformation, Ensono applauds game-changing reforms that boost ease of doing business. The Safe Harbor threshold expansion to ?2,000 crore with automated approvals and fast-tracked two-year Advance Pricing Agreements establishes tax certainty, encouraging foreign investment and innovation in India’s technology sector.
Equally transformative is the tax holiday until 2047 for cloud service providers leveraging Indian data centers. This landmark policy positions India as a global hub for cloud computing, unlocking opportunities in hyperscale infrastructure, enterprise cloud solutions, cybersecurity, and AI-powered managed services – areas central to Ensono’s expertise.
The government’s focus on workforce development through artificial intelligence upskilling, quantum computing initiatives, and STEM education for women ensures India builds future-ready talent. By creating pathways from education to entrepreneurship, Budget 2026 supports India’s ambitious target of capturing 10% global IT services market share by 2047.
These strategic measures reinforce technology as an economic growth driver, positioning India for sustainable competitiveness in the global digital economy.”
Mukund Vasudevan, MD, SKF India (Industrial) Limited, and President – India, Southeast Asia, and Middle East
“The Union Budget 2026–27 delivers a clear, confidence‑boosting push for India’s industrial growth. Despite maintaining fiscal discipline, the higher public CAPEX of ₹12.2 lakh crore signals strong momentum for manufacturing and infrastructure.
Reforms focused on financial access, technology adoption, and competitiveness lay the groundwork for long-term industrial strength – key for India to scale and compete alongside global players. Investments in freight and industrial corridors, along with logistics upgrades, will lower costs, strengthen supply chains, and make Indian manufacturing more efficient.
MSME-focused steps such as the Growth Fund and an expanded TReDS ecosystem should ease liquidity and improve access to capital. Overall, the Budget reinforces India’s direction toward localization, private investment, and resilient industrial growth, giving businesses greater clarity and confidence to scale.”
Baba Kalyani, CMD, Bharat Forge Ltd.
“The Union Budget 2026 reflects the hallmark of Prime Minister Modi’s stable, strong, and visionary leadership, anchored in policy continuity, fiscal discipline, and a clear focus on building long-term national capabilities.
I congratulate the Hon’ble Finance Minister on her ninth successive Budget, which strikes a careful balance between macroeconomic stability and sustained investment-led growth. The articulation of a multi-pronged growth framework and the three kartavyas reinforces the commitment to building a competitive, inclusive, and future-ready economy.
At a time of heightened geopolitical and supply-chain uncertainty, these measures are bound to strengthen India’s economic resilience and global positioning, sending a strong signal to both Global and Indian investors.
Through this budget, the government’s bet on Manufacturing is reinforced; special emphasis on modern infrastructure, high-speed rail corridors, healthcare, and cities as engines of growth is timely and strategic. The progression of the semiconductor programme to ISM 2.0 through ecosystem development, alongside the announcement of rare-earth corridors across eastern and southern India, will significantly strengthen domestic supply chains. Equally important is the focus on green competitiveness, with meaningful allocations for carbon capture and decarbonisation, aligning sustainability with industrial performance.
Aligned with the geo-strategic realities, the defence sector emerges as a key pillar of this Budget. With defence receiving the second-highest allocation with about 25% increase in the modernisation budget, the emphasis is firmly on upgrading platforms, systems, and technologies, while improving procurement efficiency. The message to industry is clear: deepen long-term capability, technology, and Aatmanirbharta or self-reliance.
I laud Madam Minister’s special thrust on Information Technology Services for companies setting up Data Centers and Cloud Services from India; the 22-year tax holiday for such investments is a well-thought-out initiative aimed at Global leadership in this segment.
Finally, the focus on university-industry clusters and AI-led productivity will help India fully leverage its demographic dividend. Overall, the Budget provides the industry the confidence to invest, innovate, and partner in building a globally competitive Indian economy.”
Challa Sreenivasulu Setty, Chairman, SBI & Chairman, IBA
“The Union Budget 2026-27 maintains policy continuity, tax predictability, while attempting a fine balancing act between rural and urban, legacy and sunrise sectors. Structurally, the budget has continued its focus on emerging sectors with notable scaling up in manufacturing, coupled with a focus on semiconductors, data centres, AI, and infrastructure.
The announcement on setting up a dedicated SME Growth fund and mandate on TREDS backed by Credit Guarantee Support will definitely act as a key driver for the MSME sector. Major initiatives in Pharma, tourism, skilling, and sports will further facilitate development and employment generation.
The financing aspect of Viksit Bharat has been elaborately addressed with measures such as Committee on Banking, the Infrastructure Risk Guarantee Fund, the recycling of CPSE real estate assets, and the extension of tax holiday for GIFT City. On the fiscal front, effective capex has been targeted at Rs12.2 lakh crore, and fiscal deficit consolidation will continue, expecting to reach around 4.3% of GDP and debt-to-GDP ratio at 55.6% of GDP, which augurs well, given the current volatile geoeconomic environment.”
Aloke Singh, Managing Director, Air India Express
“The Union Budget 2026–27 sends a strong and reassuring signal for India’s long-term growth, anchored in fiscal discipline and a sustained push on infrastructure-led development. The continued emphasis on capital expenditure and destination-focused investment provides a solid structural framework for the expansion of tourism and, by extension, the civil aviation sector.
The Budget’s focus on strengthening medical value tourism and destination development is particularly relevant for aviation, as it creates high-frequency, purpose-driven inbound travel, especially from regions such as the Middle East and Southeast Asia. At the same time, the emphasis on developing heritage, archaeological, and eco-tourism destinations across multiple states will stimulate demand for air connectivity to Tier-2 and Tier-3 cities, supporting the next phase of domestic aviation growth.
Importantly, the parallel focus on skilling and professionalising the hospitality and tourism workforce addresses the capacity and service-quality requirements needed to sustain this growth. Taken together, these measures create an ecosystem in which airlines like Air India Express are well positioned to play a meaningful role.”
Aparna Reddy, Executive Director, Aparna Enterprises Ltd.
“We welcome the Union Budget 2026–27, which reinforces infrastructure as a key pillar of India’s growth journey. The enhanced capital expenditure allocation of ₹12.2 lakh crore signals continued support for large-scale construction and connectivity projects, helping sustain momentum across the infrastructure ecosystem. The proposed Infrastructure Risk Guarantee Fund addresses an important challenge in project execution by helping mitigate risks during the construction and early development phases. By improving financing confidence for developers and lenders, this measure can contribute to stronger project viability and more predictable execution timelines.
The Budget’s emphasis on planned urban development through City Economic Regions, along with continued infrastructure expansion in Tier II and Tier III cities, reflects an approach that supports more balanced urban growth beyond traditional metropolitan centres. As these emerging cities continue to grow, improved connectivity and infrastructure are expected to drive demand for housing, commercial real estate, and supporting urban amenities. This expansion will translate into sustained construction activity and steady demand for high-quality building materials such as cement and concrete. The scale and spread of infrastructure initiatives outlined in the Budget create a conducive environment for long-term capacity building in the construction sector, supporting the development of resilient cities and addressing the evolving needs of a rapidly urbanising population.”
Navin Kumar, Managing Director, Navin’s.
“The Union Budget 2026–27 has reinforced support for the housing sector with the announcement of a ₹15,000-crore SWAMIH Fund to expedite the completion of nearly one lakh stalled housing units, a move expected to ease liquidity stress among developers and boost homebuyer confidence. Measures to raise disposable incomes and the continued thrust on urban development are also likely to support housing demand, particularly in the affordable and mid-income segments. In addition, the simplification of taxation and compliance processes for NRI property transactions is a welcome step that will improve ease of investment, enhance transparency, and encourage stronger participation from NRIs in India’s residential real estate market.”
Balbir Singh Dhillon, Brand Director, Audi India
“The Union Budget’s strong emphasis on infrastructure and capital expenditure is a positive enabler for India’s mobility landscape.
Improved highways and intercity connectivity, especially across Tier-II and Tier-III markets, are strengthening the ownership and usage ecosystem for luxury automobiles.
The government’s focus on fiscal prudence, macroeconomic stability, and ease of doing business reinforces confidence for long-term investments in the automotive sector.
Initiatives like the development of rare earth corridors and the advancement of ISM 2.0 under the India Semiconductor Mission are timely and critical. They signal a clear intent to build resilient domestic supply chains and a technology-driven manufacturing ecosystem that will support the future of automotive and electric mobility in India.”