Finance Minister Nirmala Sitharaman emphasized that the government is making significant investments in infrastructure development, with a focus on labor-intensive sectors to create jobs and stimulate economic growth. In response to a debate on the Union Budget in the Lok Sabha, Ms. Sitharaman stated that the budget includes over 12 lakh crore rupees in public capital expenditure, which represents 3.1 percent of GDP and 11.5 percent more than the revised estimates for 2025-26. She highlighted that these funds would be used to strengthen the country's infrastructure. Addressing the opposition's concerns about the lack of employment generation, Ms. Sitharaman pointed out that five regional medical hubs are being established to promote medical tourism. She also noted that the animation, visual effects, gaming, and comics (AVGC) sector is expected to create employment opportunities in the coming years. She refuted claims that the tax devolution to states has been reduced, stating that over 25 lakh crore rupees will be transferred to the states this year. She emphasized that the government has transferred 41 percent of the divisible pool to the states, and no state's share has been reduced. Regarding funding for industries, including MSMEs, she assured that there are no shortages of funds. She reiterated that the funds collected through cess and surcharges are specifically allocated for purposes such as health cess, education cess, and road cess, and that these funds are being used within the states. She further stated that inflation has decreased during the NDA government compared to the UPA regime. She affirmed that the Modi government is focused on the country's interests. She accused the Congress government of compromising with farmers' interests during its tenure and surrendering to the World Trade Organization. Leader of the Opposition in the Lok Sabha Rahul Gandhi criticized the Union Budget, stating that it lacks concrete details. He expressed concern that AI could displace jobs in the engineering and IT sectors. He also raised questions about the India-US trade deal, accusing the government of ignoring the concerns of youth and farmers. He argued that the trade deal is not one of equals, but of compulsion. He alleged that India had conceded on tariffs, handed over its data, and relinquished control over digital trade rules. Responding to Gandhi's remarks, Parliamentary Affairs Minister Kiren Rijiju stated that the Congress weakened the nation until 2014 and is unhappy with the country's progress now. He asserted that Narendra Modi is the strongest Prime Minister India has ever seen. Congress MP KC Venugopal claimed that the country's per capita income remains among the lowest in the world, and that nearly 34 percent of Indians survive on less than 100 rupees a day. He also alleged that youth unemployment has reached around 15 percent, with urban youth employment at over 18 percent. NK Premchandran of RSP stated that the budget lacks vision and direction. He said that the budget proposals are insufficient to achieve the goals set for Viksit Bharat. Asaduddin Owaisi of AIMIM alleged that the government has compromised its position on energy security, referring to the India-US trade deal. Harsimrat Kaur Badal of Shiromani Akali Dal stated that the budget does not provide sufficient provisions to accelerate the growth of Punjab. Indra Hang Subba of Sikkim Krantikari Morcha stated that the budget takes care of all sections of society. He said that strengthening all sectors is essential to make India self-reliant. Mr. Subba added that the provision for industry-led research in the budget is a welcome step. Dr Raj Kumar Chabbewal of AAP has alleged that there is nothing concrete in the Union Budget for the people of the country. He said that allocations for the National Health Mission have been reduced in the Budget. Sudheer Gupta of BJP hailed the Union Budget, stating that it will fulfill the vision of making India a developed nation by 2047. He said that during the UPA rule, the size of the Union Budget was 16 lakh crore rupees in 2013-14 while in the NDA regime it crossed 53 lakh crore rupees in 2026-27. Anurag Singh Thakur of BJP said, this Budget focuses on the welfare of the poor, gives strength to women, and provides ample opportunities to farmers and youth. Shrikant Shinde of Shiv Sena termed the Budget as a reflection of New India where the focus is on education, health and employment. Arun Bharti of LJP (R) described the Union Budget as a budget for the nation's development.
