Budget 2026: If we look at the general budget for the year 2026 presented in the Parliament by Union Finance Minister Nirmala Sitharaman, it is 'Bridge of Balance'. This budget is not just a statement of income and expenditure, rather it is working as a bridge between India's strong 'yesterday', relief-filled 'today' and hopeful 'tomorrow'. This time, instead of making a series of populist announcements, the government has adopted a mature policy which will provide relief to your pocket and also will not let the pace of progress of the country slow down. Let us understand from the perspective of a common citizen how this budget is going to affect your life and the direction of the country.
The first thing a common man sees in the budget is what he got today? On this front, the Finance Minister has not disappointed the middle class and families. If you are dreaming of educating your child abroad or are planning to travel abroad with your family, then there is great news for you. The government has directly reduced the TCS (Tax Collected at Source) rate from 5% to 2%. This will immediately save your money spent on education, treatment and tour packages abroad and will improve the cash flow in your hands.
Along with this, the government has also understood the pain of the common man on the health front. Custom duty on 17 essential medicines and drugs has been removed, which will make life saving medicines cheaper. Also, the import duty on importing goods from outside for personal use has been reduced from 20% to 10%. This step will directly help your household budget in fighting inflation. Apart from this, the government has given priority to 'trust' rather than getting entangled in tax rules, so that taxpayers do not have to get into legal trouble for minor crimes.
Now let's talk about that 'yesterday', on whose foundation this budget stands. The government has emphasized on continuity without making any major changes in the previous policies. This means that the big projects going on in the country will not stop, but will run faster. The target of fiscal deficit for the financial year 2027 has been kept at 4.3%.
With this, the government has opened its treasury on infrastructure. A record capital expenditure (Capex) of Rs 12.2 lakh crore will be made. Its direct impact will be that the roads, railways and waterways reaching your city will be better. The announcement of 7 new high-speed rail corridors and 20 new waterways means that in the times to come, freight transportation will become cheaper and logistics costs will reduce, which ultimately benefits the consumer. Also, the new 'Income Tax Act 2025' will come into effect from April 2026, which will simplify the rules so much that even the common man can understand it easily, without changing the tax rates.
This budget is not only solving today's problems, but is also preparing for the next decade. The world is changing rapidly and India does not want to be left behind. To realize the dream of 'Developed India', the government has played a big bet on manufacturing and high-tech sectors. The expansion of Semiconductor Mission 2.0 and the Rs 40,000 crore Electronic Component Scheme are proof that the gadgets you will hold in your hands in the future will be manufactured in India only.
To become a superpower of the future, protection of 'Rare Earths' is very important. For this, 'Rare Earth Corridors' will be built in Odisha, Kerala, Andhra Pradesh and Tamil Nadu in the budget. Apart from this, the Rs 10,000 crore 'Shakti' scheme for the biopharma sector and 1000 new trial sites is a big step towards making India a global hub of medical research. All these steps will open doors to high-tech and high-salary jobs for the youth.
No magic wand has been used in this budget, but a solid path has been prepared with a 'long term' vision. The basic mantra of this budget is 'Yesterday, today and tomorrow' It means a strong foundation of yesterday, immediate relief of today and golden preparation for tomorrow.
| Category | Measure / Scheme | Key Details | Policy Nature |
| fiscal policy | fiscal deficit target | 4.3% of GDP in FY 2027; Debt-GDP ratio will be 50% by FY 2031 | Continuation |
| infrastructure | Capital Expenditure | ₹12.2 lakh crore (3.1% of GDP); Focus on rail, waterways, logistics | Continuation |
| Taxation | Income Tax Act, 2025 | Simple tax law from April 2026; No change in tax rates | Continuation |
| Manufacturing | Electronics and Semiconductor | Expanding Semiconductor Mission; Component plan of ₹40,000 crore | Continuation |
| MSMEs and employment | Cluster and skilling | 200 clusters reactivated; Tour Guide, AVGC Labs | Continuation |
| Agriculture | High Value Crops and Fiber | Focus on exports; National Fiber Scheme | Continuation |
| Healthcare and Tech | Biopharma Shakti | ₹10,000 crore in 5 years; 1,000 trial sites | New |
| vital minerals | Rare Earth Corridors | Will be built in Odisha, Kerala, Andhra Pradesh, Tamil Nadu | New |
| MSME Finance | SME Growth Fund | ₹10,000 crore fund to scale up MSMEs | New |
| infrastructure finance | Risk Guarantee Fund | Partial Credit Guarantee for Infra Projects | New |
| Trade and Customs | Integrated Custom System | Single digital platform will be ready in 2 years | New |
| Exports | courier export limit | Value cap of ₹10 lakh has been removed | New |
