UNION BUDGET 2026–27: STRUCTURED NOTES

A. OVERALL ECONOMIC FRAMEWORK

• Growth-oriented, infrastructure-led and technology-driven strategy
• Focus on macroeconomic stability and long-term transformation

Key Indicators

• Exports: USD 825 billion
• Capital Expenditure: ₹12.2 lakh crore
• Capex Growth: 6× increase since 2014
• Budget Size: 3× increase with controlled fiscal deficit
• FDI: Rising trend
• Gross NPAs: Declining

B. INFRASTRUCTURE AS GROWTH ENGINE

• ₹3 lakh crore for road infrastructure
• 7 high-speed rail corridors planned
• 1,000 railway stations redevelopment under Amrit Bharat

Delhi–Mumbai Expressway

• Completion: 2027
• Travel time: 33 hrs → 12 hrs
• Improves logistics efficiency & economic integration

C. TECHNOLOGY & INDUSTRIAL TRANSFORMATION

• India Semiconductor Mission (ISM 2.0)
• Electronics Components Manufacturing
• Rare Earth Corridors
• Chemical Parks & Capital Goods Manufacturing
• Biopharma Shakti Initiative

Biopharma Shakti Initiative

• Outlay: ₹10,000 crore (5 years)
• Focus:
  • Biologics & biosimilars
  • Clinical research
  • Domestic pharmaceutical ecosystem

D. INSTITUTIONAL & INDUSTRIAL EXPANSION

• 3 new institutes
• Upgradation of 7 existing institutes
• 3 new Chemical Parks
• Expansion of NIPERs
• Proposal for new NIMHANS (North India)

E. HEALTHCARE SECTOR

E1. Overall Allocation

• ₹1,06,530.42 crore
• ~10% increase
• 194% increase since 2014–15

E2. Key Components

a. Public Health Schemes

• NHM: ₹39,390 crore
• PMJAY: ₹9,500 crore

b. Infrastructure

• PM Ayushman Bharat Health Infrastructure Mission: ₹4,770 crore
• PM Swasthya Suraksha Yojana: ₹11,307 crore

c. Research & Education

• Dept. of Health Research: ₹4,821.21 crore
• Allied Healthcare Education: ₹980 crore

d. Specialized Healthcare

• AIDS & STD Control Programme strengthening
• Expansion of:
  • Cancer centres
  • Transplant units
  • Trauma care
• New NIMHANS (North India)

e. Affordability

• Customs duty exemption on 17 life-saving drugs

E3. Mental Health Transformation

a. Institutional Reforms

• NIMHANS-2 (North India)
• Upgradation of regional institutions
• Expansion of emergency & trauma care

b. Implications

• Addresses regional imbalance
• Enhances research, treatment, training
• Strengthens public health infrastructure

E4. Policy Continuity

• Mental Healthcare Act, 2017
• National Health Policy, 2017
• National Mental Health Programme (1982)
• District Mental Health Programme (1996)
• Tele-MANAS (2022)

E5. Digital Expansion

• Tele-MANAS 24×7 helpline
• Integration with Ayushman Bharat (Arogya Mandirs)
• AI-enabled & multilingual services

F. AYUSH & TRADITIONAL MEDICINE

• Allocation: ₹4,409 crore (20% increase)

Focus

• Medicinal plants (DAJGUA scheme)
• WHO Global Traditional Medicine Centre (Jamnagar)
• 3 new All India Institutes of Ayurveda

G. RURAL DEVELOPMENT & AGRICULTURE

Rural Development

• 21% increase
• Combined Rural + Agriculture: ₹4.35 lakh crore+
• Viksit Bharat Gram Initiative: ₹1.51 lakh crore

MGNREGA

• Centre: ₹95,692 crore+
• Total: ₹1.51 lakh crore+

Panchayati Raj

• ₹55,900 crore transfers
• Increase: ₹2.36 lakh crore → ₹4.35 lakh crore

H. AGRICULTURE SECTOR

• Total Allocation: ₹1.32 lakh crore
• ICAR: ₹9,967 crore

Focus

• High-value crops:
  • Coconut, Cocoa, Cashew, Sandalwood
• Horticulture & supply chain efficiency

Fertiliser Subsidy

• ₹1.70 lakh crore

I. WOMEN EMPOWERMENT & GENDER BUDGET

Gender Budget

• ₹5.01 lakh crore
• Increase: 11.55%
• Share: 8.86% → 9.37%

Institutional Expansion

• 53 Ministries + 5 UTs
• 4 new Ministries added

Initiatives

• Lakhpati Didi expansion
• SHE-Mart:
  • Community retail outlets
  • Market access for SHGs

J. HEALTHCARE & SOCIAL SECTOR (INTEGRATED VIEW)

• ₹1 lakh crore healthcare allocation
• ₹10,000 crore Biopharma Shakti
• Training: 1 lakh allied health professionals
• Expansion of Ayushman Bharat
• Women empowerment (hostels)

K. DEFENCE SECTOR

K1. Overall Allocation

• ₹7.85 lakh crore
• ↑15.19%
• Nearly 3× since 2013–14
• ~2% GDP | 14.67% expenditure

K2. Structure

K3. Capex & Modernisation

• ₹2.19 lakh crore
• ₹1.85 lakh crore procurement
• Focus: Aircraft, submarines, drones, smart weapons

K4. Revenue

• ₹3.65 lakh crore
• ₹1.58 lakh crore operational

K5. Indigenisation

• ₹1.39 lakh crore (~75%) domestic
• Customs exemption on aircraft components

K6. R&D

• DRDO: ₹29,100 crore
• 25% private participation
• 15 CoEs (82 areas)

K7. Others

• BRO: ₹7,394 crore

K8. Veterans

• ECHS: ₹12,100 crore
• Pensions: ₹1.71 lakh crore

L. RAILWAYS

• ₹2.78 lakh crore

State-wise

• NE & Assam: ₹11,486 crore
• WB: ₹14,000+ crore
• Maharashtra: ₹24,000 crore
• UP: ₹20,000+ crore
• TN: ₹7,611 crore
• Delhi: ₹2,711 crore
• Kerala: ₹3,795 crore

Developments

• 40 km underground corridor (NE)
• 2 bullet train corridors (TN)

M. EXPORTS & TRADE STRATEGY

M1. MSMEs

• Share: 48.6%
• Champion MSMEs
• National Export Promotion Mission

M2. Sector Focus

• Biopharma, Semiconductors, Electronics
• Rare Earths, Chemicals, Textiles

M3. Regional

• Rare Earth: Odisha, Kerala, AP, TN
• Coconut: Kerala
• East Coast Corridor: WB
• Waterways: Odisha

M4. Strategy

• Target: 10% global services exports (2047)
• Manufacturing, SEZ, logistics

M5. Support

• ₹10,000 crore SME Fund
• TReDS

N. TAXATION & EASE OF DOING BUSINESS

Policy

• No change in income tax slabs

Compliance

• ITR deadline: Dec 31 → March 31
• Staggered filing
• Automated TDS

NRI

• 5-year exemption
• Investment limit: 10%

TCS

• Tours: 2%
• Education/medical: 2%

STT

• Futures: 0.02% → 0.05%
• Options: 0.01% → 0.15%

O. DIGITAL & TECHNOLOGY PUSH

• “Tech-Budget”
• Focus:
  • Semiconductor ecosystem
  • Digital infrastructure
  • Investment facilitation

P. CORE DEVELOPMENT FRAMEWORK

• Farmers
• Youth
• Women
• Poor

Q. TOURISM, CULTURE & HERITAGE

Q1. Thematic Tourism

• Mountain: HP, Uttarakhand, J&K
• Eco: Araku Valley, Podhigai Malai
• Turtle: Odisha, Karnataka, Kerala
• Bird: Pulicat Lake

Implications

• Eco-tourism
• Community models
• Diversification

Q2. Heritage Tourism

• 15 Sites:
  • Lothal, Dholavira, Rakhigarhi, Sarnath, Hastinapur, Leh Palace, Adichanallur

Q3. Spiritual Tourism

• Buddhist Circuit (NE states)
• Focus:
  • Temple preservation
  • Pilgrim infrastructure
  • Connectivity

Q4. Skill Development

• 10,000 guides (IIM model)
• NCHM → National Institute of Hospitality

Q5. Niche Tourism

• 5 Medical Tourism Hubs
• Global Big Cat Summit (95 countries)

Q6. Digital Tourism

• National Destination Digital Knowledge Grid

R. EDUCATION, SKILLING & SCIENCE

• 5 University Townships (corridors)

Women Education

• 1 girls’ hostel per district
• VGF support

Science Infrastructure

• 4 Telescope Facilities:
  • National Large Solar Telescope
  • National Large Optical Infrared Telescope
  • Himalayan Chandra Telescope
  • COSMOS 2 Planetarium

S. INFRASTRUCTURE & FISCAL FRAMEWORK

Indicators

• Capex: ₹12.2 lakh crore
• Capex/GDP: 4.4%
• Revised Capex: ₹10.9 lakh crore
• Fiscal Deficit: 4.3% GDP

Revenue Trends

• Corporate Tax: +14%
• Income Tax: +1.9%
• GST: –13.5%

Reasons

• Rate rationalisation (Sept 2025)
• End of compensation cess

T. CONCLUSION

• Infrastructure expansion
• Technological transformation
• Social sector strengthening
• Fiscal stability & policy continuity

➡️ Aim: Viksit Bharat 2047 through inclusive, sustainable, innovation-driven growth