'We have pursued far-reaching structural reforms,' says FM Sitharaman while presenting Budget 2026-27

Finance Minister Nirmala Sitharaman on Sunday presented the Union Budget 2026-27 in the Lok Sabha, marking her ninth consecutive budget presentation.

Speaking in the House, the Finance Minister highlighted the government’s focus on stability, reforms, and public investment. She said, “Since we assumed office 12 years ago, India's economic trajectory has been marked by stability. This government led by PM Modi has chosen action over ambivalence, reform over rhetoric. We have pursued far-reaching structural reforms, fiscal prudence and monetary stability, while maintaining a strong thrust on public investment.”

Sitharaman also acknowledged the challenges posed by the global economic environment, saying, “Today, we face an external environment in which trade and multilateralism are imperiled. And access to resources and supply chains are disrupted. New technologies are transforming production systems while sharply increasing demand on water, energy and critical minerals. India will continue to take confident steps towards Vikasit Bharat by balancing ambition with inclusion.”

Alongside the budget, the Finance Minister tabled two statements under Section 3(1) of the Fiscal Responsibility and Budget Management (FRBM) Act, 2003: the Medium-term Fiscal Policy-cum-Fiscal Policy Strategy Statement and the Macro-Economic Framework Statement.

The 2026-27 budget also introduces GST reforms, branded as ‘GST 2.0’, aimed at simplifying indirect taxation with a two-rate structure of 5 per cent and 18 per cent, reducing compliance costs, and lowering the cost of living through rate cuts on essential goods and services.

The budget assumes added significance amid global trade challenges, including the United States’ recent imposition of a 50 per cent tariff on Indian goods, with an emphasis likely on boosting export growth.

Earlier, on Thursday, FM Sitharaman tabled the Economic Survey of India for the 2025-26 financial year in Parliament.

The ongoing Budget session will span 30 sittings over 65 days and conclude on April 2. Both Houses will adjourn for a recess on February 13 and reconvene on March 9 to allow Standing Committees to examine the Demands for Grants of various ministries and departments.