Budget 2026 Expectations Live: Will Defence Spending Once Again Take Centre Stage?

“As we look toward Union Budget 2026, we anticipate a strategic focus on expanding affordable credit for MSMEs and the underserved. Microfinance institutions are the engine of rural demand; however, to scale effectively, we need a significant reduction in funding friction and the removal of operational bottlenecks.," Avinash Kumar, chief operating officer, DJT Microfinance, said,

"We call for dedicated refinance windows to lower costs for NBFCs and a simplified, extended MUDRA framework to ease balance sheet stress," Kumar added.

"Oben Electric views the Union Budget 2026-27 as a vital opportunity to strengthen India’s electric mobility journey. While 2025 was a landmark year with EV sales reaching a record 2.3 million units, anchored by 1.28 million two-wheelers, the industry’s long-term health depends on structural tax reforms. A primary concern for domestic manufacturers is the inverted tax structure," says Madhumita Agrawal, Founder & CEO of Oben Electric.

Vedanta's iron ore mining arm, Sesa Goa, has urged the government to provide incentives for low-grade iron ore beneficiation, emphasising that targeted policy support and infrastructure investment are critical to make the processing economically viable and to expand the sector, reports PTI.

Speaking to PTI, Skoda Auto Volkswagen India MD and CEO Piyush Arora vouched for policy continuity ahead of the Union Budget 2026.

"And from that point of view, if there are some important duties in the electric (vehicle) space that can be addressed (in the Budget) going forward, it would help... Continuity is extremely important for our sector, along with further focus on infrastructure growth and building up the EV ecosystem," he said.

"We hope to see dedicated funding for design-led research and development, creative-technology labs, and industry-linked universities that translate knowledge into products, services and cultural exports. Supporting institutions that integrate design, technology, sustainability and entrepreneurship will help India move from being a cost-competitive economy to a globally competitive innovation economy," Sanjay Gupta, vice chancellor, World University of Design, said.

"There is hope for greater fiscal support for emerging areas such as green hydrogen, energy storage, grid modernisation, and industrial decarbonisation," Vasudha Madhavan, founder and chief exeuctive officer of Ostara Advisors said.

"It would also be encouraging to see a continued emphasis on electric mobility through more targeted subsidies, steady investment in public and urban charging infrastructure, and incentives that support domestic manufacturing of EV components and strengthen supply chains," Madhavan added.

"We hope to see dedicated funding for design-led research and development, creative-technology labs, and industry-linked universities that translate knowledge into products, services and cultural exports. Supporting institutions that integrate design, technology, sustainability and entrepreneurship will help India move from being a cost-competitive economy to a globally competitive innovation economy," Sanjay Gupta, vice chancellor, World University of Design, said.

"A forward‑looking Budget that positions general insurance as essential economic and social infrastructure anchored in digital enablement, affordability, home and MSME protection, and climate‑risk financing can significantly deepen insurance penetration and support the nation’s long‑term trajectory of inclusive and resilient growth," says Rakesh Jain, CEO, IndusInd General Insurance.

“Elders need specialised geriatric care rooted in dignity and compassion. For those battling life-limiting illnesses, especially the rural poor, the support and care outside hospitals, at their homes or communities, is often left unaddressed, leading to immense suffering. While policies already recognise Palliative Care under NHM, NPHCE & Ayushman Arogya Mandir (AAM) program (included as one of the 12 essential services package), a national mission approach with dedicated resources and timelines is urgently required to fully operationalise this. We also urge financial support under PM‑JAY for home‑based palliative and caregiving services through registered providers,” says Rohit Prasad, CEO, HelpAge India.

Naval Kagalwala, COO & Head of Products, Shriram Wealth Ltd., expects gross market borrowing to remain elevated in FY27 as many existing bonds are coming due. This is starting to weigh on the bond market and 10‑year yields have risen in recent sessions even though the RBI has tried to ease liquidity through measures like OMOs and dollar‑rupee buy‑sell swaps, Kagalwala said.

Govind Sankaranarayanan, Co-founder & COO, Ecofy expects "measures that can accelerate green lending at scale. The proposed establishment of a dedicated Green Finance Institution (GFI) can be a game-changer, offering credit guarantees, concessional finance, and securitisation support that substantially lower risks and borrowing costs. Along with targeted incentives for EVs, rooftop solar, and industrial decarbonisation, such institutional support can expand the green credit pipeline and help India stay aligned with its 2030 climate ambitions. The next phase of growth will depend on how effectively policy and finance converge to de-risk and scale sustainable investments across sectors."