Union Budget 2026–27: A Bold Step Towards India’s Economic Growth
Union Minister for Petroleum and Natural Gas, Shri Hardeep Singh Puri, addressed the press in Dehradun, elaborating on the Union Budget 2026–27. He emphasized how the Budget embodies the confidence and growth of an economy that has significantly evolved since 2014. Highlighting a remarkable journey from the “fragile five” to the world’s fourth-largest economy, Puri stated that the Budget carefully balances the promotion of growth with maintaining fiscal discipline, positioning India as a trusted global growth narrative.
Budget Reflects Economic Transformation
Shri Puri characterized the Budget as forward-looking and aimed at consolidation, building on the strong foundations established over the past decade. He projected India’s GDP growth for FY26 at an impressive 7.4 percent, primarily fueled by robust consumption and investment. Puri noted that India continues to retain its status as the fastest-growing major economy for the fourth consecutive year, amidst a global growth rate of approximately 3 percent.
Price Stability Achieved
During the address, Puri shed light on the substantial improvements in price stability since 2014. He noted that in 2025, India experienced the sharpest decline in headline inflation, recorded at around 1.8 percent. Between April and December 2025, inflation averaged about 1.7 percent, buoyed by reduced food prices, particularly in vegetables and pulses. He underscored that India’s inflation rates are now substantially lower than those in numerous advanced and emerging economies.
Investment in Infrastructure and Growth
The Minister pointed out that significant capital investment is now driving growth, with the overall capital expenditure for 2026–27 reaching approximately ₹12.2 lakh crore. This marks an increase of more than 430 percent compared to 2013–14, with allocations for national highways, defense, health, and education rising dramatically during this period. He emphasized that infrastructure development serves as a crucial engine for economic expansion, capable of generating ₹3.2 in GDP for every rupee spent on national highways.
Enhancements in Defense and Education
Shri Puri also highlighted the strengthened defense sector due to sustained investments that have reduced dependence on imports while bolstering indigenous manufacturing capabilities. In terms of human capital, he pointed to a notable increase in institutions that are vital for education, including an expansion of IITs from 16 to 23, IIMs from 13 to 21, and AIIMS from 7 to 23 since 2014. The establishment of international IIT campuses in Zanzibar and Abu Dhabi reflects the global acknowledgment of India’s educational framework.
Infrastructure Developments
The Minister elaborated on the transformative impact of infrastructure expansion on national connectivity. The national highway network has grown from about 91,000 km in 2014 to nearly 1.46 lakh km in 2026. Additionally, the metro network has surged from 248 km to over 1,000 km, while the number of operational airports has more than doubled, enhancing travel options. Over the last five years alone, more than 57,000 km of national highways have been constructed, creating roughly 33 crore person-days of employment each year.
Green Growth Initiatives
On the topic of MSMEs and sustainable growth, Shri Puri underlined the Budget’s commitment to aligning competitiveness with sustainability. With initiatives like the ₹10,000 crore Bio-Pharma SHAKTI and a ₹10,000 crore MSME Growth Fund, the government aims to foster innovation. Key initiatives involving clean growth strategies have also been established, including a ₹20,000 crore CCUS Mission and duty exemptions for critical components of clean energy projects until 2035.
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