Budget 2026 Live Updates: FM Sitharaman to spell out fiscal plans as India navigates global trade risks

With the Union Budget 2026 drawing closer, economists are outlining areas they expect the government to prioritise.

Osmania University Professor Satish Raikindi said the Indian economy is well placed for sustainable expansion, with policy focus expected on employment generation, agriculture, inclusive manufacturing, digitalisation, rural–urban integration and the green economy.

“The present Indian economy plays a vital role, and for sustainable growth, we can look forward with optimism. The government of India is prioritising areas such as job creation, agricultural development, inclusive manufacturing, digital transformation, rural-urban integration, and the green economy,” he told ANI.

Raikindi added that targeted attention to these sectors could drive balanced growth across the country.
“By focusing on these priority sectors, India can achieve sustainable growth nationwide. Every common man is looking forward to relief in tax slabs, affordable housing, healthcare, employment and education,” he said.

Another Osmania University academic, Professor M Ramulu, stressed the need to channel investments beyond large, capital-intensive industries to smaller segments such as startups and small-scale enterprises.

“Most capital is flowing into capital-intensive industries where growth rates and profits are high, particularly in industrial and manufacturing sectors. These investments should also percolate to small sectors such as startups, small-scale industries, and area-based industries,” Ramulu said.

He also highlighted concerns around excessive concentration of investments in metropolitan regions.
“Currently, most investments are concentrated in capital and metropolitan cities, which creates environmental issues, pollution, and excessive population concentration. I expect that in this budget, investments should be distributed across all states, especially toward agro-based industries, small startup manufacturing units, and decentralised industries, rather than focusing only on large industries.”