Budget 2026 On Sunday: Demand Rises For 30% Interest Relief On FDs Up To Rs 2 Lakh

New Delhi: On February 1, 2026, Finance Minister Nirmala Sitharaman will present the Union Budget 2026 in Parliament. This will be her ninth consecutive budget and with this she will become the first finance minister of the country to present the general budget nine consecutive times. The budget is coming at a time when there is economic uncertainty at the global level and at the domestic level the government is facing the challenge of maintaining growth, increasing consumer spending and maintaining fiscal balance.

Why is the atmosphere different this time after the last budget?

In Budget 2025, the government took a big decision on the income tax front and made income up to Rs 12 lakh tax-free in the new tax system. This brought great relief to the middle class. For this reason, this time the expectation of such a big discount is considered less. Experts say that the government can now focus on simplifying the tax system and reducing compliance-related problems.

What kind of relief can the middle class get?

According to experts, steps like slight changes in the tax slab, improvement in standard deduction, or simplifying the tax return process can be taken in this budget. The government's objective may be to increase disposable income and support consumption rather than directly giving big discounts.

How will there be a balance between government expenditure and development?

The government's priority this time is likely to be on targeted steps rather than big announcements. The big challenge is to keep the fiscal deficit under control while continuing to spend on infrastructure. It is believed that by maintaining capital expenditure, unnecessary expenditure can be controlled.

What does the real estate sector expect from the budget?

The real estate sector is looking forward to infrastructure development, rationalization of taxation and better connectivity. Investor confidence can be strengthened by the promotion of metro, expressway and green development. Positive signs are being expected regarding residential and commercial projects in Tier-2 and Tier-3 cities.

What problems does the MSME sector want to address?

Experts associated with the MSME sector say that the needs of micro, small, and medium units are different; hence, the policies should also be different. The main demands are to strictly implement the 45-day payment rule, remove the problem of working capital, and provide easy credit. The sector believes that this will also strengthen employment generation.

What benefits can domestic brands and the consumer sector get?

Homegrown beauty and personal care brands are expected to get more incentives under 'Make in India.' Rationalization of GST on cosmetics and consumer goods may reduce costs. This is likely to increase the competitiveness of domestic companies.

What is your view on technology, data, and aviation?

Given the expansion of the digital economy, the focus on data centers and cloud infrastructure may increase. A clear policy regarding support to local cloud providers and data sovereignty is expected. At the same time, security systems and indigenous technology can get a boost in the aviation sector.

How much support will green energy and low-carbon economy receive?

Sectors related to green hydrogen, renewable energy and decarbonization are expecting solid support from the budget. Experts believe that with the right incentives and policy support, India can not only strengthen energy security but also become a major hub of green technology globally.

What picture emerges from Budget 2026?

There is little possibility of any major shock or shocking decision from the Union Budget 2026. The government's stance seems to be focused on stability, trust and long-term development. Efforts to create a balance between the middle class, industry and investors through small but effective steps can become the identity of this budget.