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INdia's finance government minister Nirmala Sitharaman testament pose the unification Budget for the 2026-2027 financial year on February 1, Sunday. This will be the ninth consecutive budget to be presented by Sitharaman, plus one interim budget. The budget will outline the central government's estimated receipts and expenditures, and feed into its long-term economic planning. Prime Minister Narendra Modi's BJP-led government has said its goal is to make India a developed nation by the year 2047, ‘Viksit Bharat’.The budget comes at a time when India is one of the fastest-growing large economies in the world. However, the government faces several specific economic conditions. Global trade has also become less predictable due to geopolitical tensions triggered mainly by US President Donald Trump's tariff aggression. The government must also manage the fiscal deficit. The target is to reduce this to below 4.5% of the Gross Domestic Product (GDP).In previous years, the government increased spending on infrastructure, or capital expenditure (capex). The 2025 budget saw a significant increase in this area. Many economists are watching if this trend will continue in 2026 too. High capex is usually intended to create jobs, among other targets.Expectations from Union Budget 2026-27Business organisations recently shared their views with the finance ministry during pre-budget consultations. The Confederation of Indian Industry (CII) and the Federation of Indian Chambers of Commerce and Industry (FICCI) have submitted lists of recommendations.One major request was to continue infrastructure spending, reports said. Manufacturing is another priority for the industry, with companies looking for incentives to expand factories in India. Technology companies and startups have specific requests as well, such as a call for clearer regulations regarding Artificial Intelligence (AI) and renewable energy sources like Green Hydrogen. The opposition has alleged that the budget could simply serve as an eyewash. Leaders from the Congress, Trinamool Congress (TMC), and Samajwadi Party have said economic growth is not reaching everyone equally. Unemployment is a major theme for the opposition, and the focus is particularly on the repeal of the MGNREGA programme, and its replacement with the VB G-RAM-G rural job scheme.

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