Views by Ajit Mishra – SVP
“The Union Budget 2026–27 reflects continuity with conviction, demonstrating the government’s ability to balance growth, fiscal discipline and structural reforms amid global uncertainty. With GDP growth guided around 7% and the fiscal deficit narrowing to 4.3% of GDP, the focus remains firmly on macro stability without compromising on public investment, which has increased nearly six-folds since FY15.
The sustained emphasis on manufacturing, infrastructure, energy security and services strengthens India’s medium-term growth engine, while MSME credit support, logistics modernization and supply-chain localization address key execution bottlenecks. Prioritizing future-ready sectors such as electronics, nuclear energy, data centres, defence manufacturing and rare earths further reinforces India’s strategic and self-reliant growth framework.
For equity markets, the Budget is structurally positive, offering improved earnings visibility through infrastructure-led growth and policy certainty. While tax measures on derivatives may trigger near-term volatility, the broader policy framework enhances India’s long-term investment attractiveness, anchored in stability, reform momentum and sustainable growth.”
