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Below the India Budget 2025-26: Infrastructure, Power, and Investment Push to Drive Growth by Dr Vikas Gupta, CEO, OmniScience Capital

The Union Budget 2025-26 sets a transformative course for India's economic growth, emphasizing infrastructure, MSMEs, agriculture, and digital advancements. With an outlay of Rs.1.5 lakh crore for PPP infrastructure, the budget aims to significantly enhance roads, power, and related sectors, benefiting EPC, construction, and engineering firms. The government's strong focus on power distribution, transmission, nuclear energy, and the power grid is set to modernize the sector, ensuring long-term sustainability.

A prudent approach toward fiscal deficit reduction and gradual debt control strengthens the outlook for Indian government bonds while supporting INR stability. Additionally, the push for critical minerals enhances India’s global defense positioning, and incentives for EV and battery technology underscore the country’s commitment to sustainable growth. Investments and capex allocation will accelerate expansion in banks and specialized infrastructure NBFCs, reinforcing the four key engines of the economy - agriculture, MSMEs, investments, and exports.

With added support for states to reform the power sector, this budget not only prioritizes short-term economic recovery but also lays the foundation for long-term sustainable development. India’s path to ‘Viksit Bharat’ is now clearer, backed by focused reforms and strategic capital deployment that ensure a prosperous and resilient future.

The progressive tax structure, regulatory reforms, and targeted investments establish a balanced approach to economic expansion and fiscal prudence. The Budget 2025-26 marks a significant milestone in India's journey toward becoming a fully developed economy.
 

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