Budget 2026 Expectations Live: Focus On Rural Credit, GST Reforms And More

Dr Manika Khanna, IVF Specialist, Founder and CEO, Gaudium IVF says, "Women’s healthcare in India is at a critical inflection point ahead of Budget 2026." She expects stronger policy "focus on preventive diagnostics, early screening and continuum of care. Rationalising GST on essential consumables, expanding Section 80D for preventive screenings and improving OPD insurance coverage", Khanna says, can "enhance affordability. Priority lending and incentives for Tier II and Tier III expansion are also crucial."

Pavan Kumar, Founder and CEO, White Lotus Group says, "Union Budget 2026 is a timely opportunity to bring structural clarity to taxation for luxury and design-led real estate." He says simplifying long-term capital gains and incentivising longer holding periods can attract patient global capital and stabilise pricing. Kumar adds that predictable GST treatment on input credits and works contracts is critical for high-end projects. Supporting REITs and refining housing policy levers, he says, can position real estate as long-term economic infrastructure.

Arijeet Talapatra, CEO, itel India says, "As India advances digital inclusion, Budget 2026 offers an opportunity to accelerate electronics manufacturing through targeted support." He expects sustained policy backing for semiconductors and high-end components to reduce import dependence and strengthen global competitiveness. Talapatra adds that fiscal support for localisation under ECMS and R&D-linked incentives can help build resilient supply chains. A stronger innovation push, he says, will enable next-generation device design and wider access to technology.

Santosh Shah, Managing Director, VYNA Electric says, "With the electronics PLI scheme already attracting large investments, Budget 2026 should deepen support for domestic manufacturing." He expects a modest reduction in import duties on raw materials and extension of incentives to lighting and switchgear components. Shah adds that such measures can help manufacturers deliver global-quality electrical products at competitive prices. Strong policy support, he says, will encourage responsible scaling and improve product safety and durability for consumers.

Abhishek Somany, Managing Director and CEO, SOMANY Ceramics says, "Natural gas is a critical input for ceramic tile manufacturing but remains outside the GST framework, leading to cascading taxes and higher production costs." He expects Budget 2026 to bring natural gas under GST to enable input tax credit and improve cost efficiency. Somany adds that tiles, despite being core to housing-led infrastructure, continue to be taxed at 18% and need rationalisation to the 5% slab. Such measures, he says, would support affordable housing, stimulate demand and strengthen domestic manufacturing.

Nikhil Sharma, Managing Director and COO, South Asia, Radisson Hotel Group says, "Tourism and hospitality are at a critical inflection point as demand deepens across leisure, religious, MICE and medical travel." He expects the Budget to recognise hospitality as productive economic infrastructure rather than discretionary consumption. "Granting infrastructure status, GST rationalisation and restoration of input tax credit," Sharma says, "can unlock long-term financing and improve competitiveness. Targeted incentives, connectivity investment and hospitality-specific skilling can position the sector as a key engine of inclusive growth."

Mr Shaji Varghese, CEO, Muthoot FinCorp Ltd. said, "We recommend budgetary measures for more credit supply to the rural and lower middle-income segments in India. To achieve this, the Union Budget 2026 can include measures for liberalising branch-opening norms for Gold Loan NBFCs to accelerate outreach and deepen market penetration, especially for secured Gold Loans which carry relatively lower risk. Rationalising capital risk weights for Gold Loans by NBFCs to reduce the cost of lending and enable greater credit flow to rural and semi-urban markets." He further recommended, "Harmonising SARFAESI Act applicability for NBFCs in line with banks and Housing Finance Companies (HFCs) to help drive rural housing credit and strengthen recovery mechanisms for smaller-ticket mortgage loans. Also, designing targeted schemes to ensure customers who experienced temporary or one-time credit default are not permanently excluded from formal banking channels and are brought back into the lending ecosystem. And lastly, promoting formalisation of gold lending by encouraging policy reforms that shift activity from informal channels to regulated institutions and strengthen consumer protection."

Mayank Kale, CEO and Co-founder, Loop Health says, "Budget 2026 presents a chance to correct a structural imbalance in India’s health insurance system, where group health insurance receives no tax support." He expects zero-rating of GST on group health premiums and full input tax credit to lower employer costs and boost preventive care. With the New Tax Regime reducing the relevance of Section 80D, Kale adds that incentives must shift toward prevention, early detection and workforce health, which is an economic priority.

Venkatraman Narayanan, Managing Director, Happiest Minds Technologies says, "Union Budget 2026 is an important opportunity to strengthen the operating environment for India’s IT industry as it enters its next growth phase." He expects policies that promote ease of doing business, technology exports and regulatory clarity for global digital delivery. "Incentives for digital engineering, cybersecurity and platform-led services, along with simplified compliance norms," he says, "can help mid-sized IT firms scale sustainably. Focused investments in industry-aligned skilling and academia-industry collaboration will be key to maintaining India’s global tech leadership.: