India's 2026-27 Budget: Paving the Way for Long-Term Growth

India's Union Budget 2026-27 focuses on long-term growth, enhancing digital infrastructure, and strengthening the services sector. Industry leaders see the Budget as a strategic shift towards structural economic progress, with an emphasis on technology, mobility, and real estate to boost growth and competitiveness.

The Union Budget 2026-27, unveiled by India, has drawn significant attention from key industry figures, notably in the services, technology, and real estate sectors. The consensus is that the government aims to promote sustained growth by bolstering digital infrastructure and creating clarity in tax and regulatory processes, marking a move towards a structural economic paradigm.

The technology and services sectors have particularly welcomed the government's focus on the services as a pivotal growth driver. Ankit Agarwal of Invenia-STL Networks highlighted that the Budget reinforces the services sector's crucial role in advancing Viksit Bharat, aiming for economic growth, job creation, and export enhancement. This perception positions the Budget as a blueprint for structural advancement rather than short-lived economic stimuli.

Technology leaders like CP Gurnani of AIONOS see the Budget as a clear pivot towards building strategic technological capabilities. He stressed the importance of establishing strong technological foundations that link ambitions in AI, semiconductors, and data infrastructure to inclusivity and competitive growth. Initiatives like Bharat Vistar are cited as examples of policy connecting technology to practical outcomes, enhancing sectors like agriculture and education.

Mobility and operational service executives also acknowledged the strategic undertakings in the Budget. Sriram Kannan of Routematic noted the emphasis on public capital expenditure, EV manufacturing corridors, and MSME support as indicators of growth origins from smaller urban hubs. The real estate sector praised the introduction of REITs for CPSE assets, as highlighted by Bhartiya Urban's Hardeep Dayal, citing it as a pivotal step in unlocking investment potential in under-utilized government properties.

Advisory experts observed significant tax reforms designed to facilitate service sector expansion. CA Nidhi Goyal from Avinav Consulting pointed out tax measures as amplifying India's allure for both domestic and global service enterprises. Overall, experts view the Budget as a strategic initiative centered on fortifying long-term competitive advantage, infrastructure incentives, and inclusive growth, cementing India's global positioning in services and digital innovation.

(With inputs from agencies.)