Finance Ministry Begins Early Preparations for FY27 Union Budget

Growth, jobs, and domestic demand to take center stage

New Delhi, Sept 4:

The Finance Ministry has announced that it will begin work on the FY2026-27 Union Budget starting October 9, marking an unusually early start to the process. The move signals the government’s intent to stay ahead of global uncertainties while addressing domestic growth challenges.

Senior officials confirmed that consultations will be held with industry groups, state governments, startups, and SMEs. Priority areas include job creation, boosting demand, strengthening manufacturing, and expanding infrastructure investment.

Economists believe that with exports under pressure due to rising U.S. tariffs, the government will rely more on domestic demand to keep growth momentum intact. Fiscal space created by higher GST revenues and disinvestment proceeds could allow for larger allocations to capital expenditure.

Market analysts expect the budget to also address credit support for MSMEs, tax relief measures, and incentives for sectors like renewable energy, EVs, and digital infrastructure.