Preparations for Union Budget 2026-27 Begin with Traditional Halwa Ceremony
Final Preparations for Union Budget 2026-27
Union Budget 2026-27 preparations are entering their final phase, with the traditional ‘Halwa Ceremony’ expected to take place next week, specifically in the last week of January 2026.
This long-standing ritual involves Finance Minister Nirmala Sitharaman personally preparing and distributing halwa, marking the commencement of the printing of budget documents. Following this ceremony, all personnel and officials associated with the budget enter a ‘lock-in’ or isolation mode, remaining at North Block (or the relevant printing press) without the ability to leave. They are prohibited from using mobile phones or the internet, and stringent security measures, including CCTV, are implemented to ensure confidentiality. This tradition has been in place since the 1950s to prevent budget leaks.
This year, the budget will be presented in the Lok Sabha on February 1, 2026, at 11 AM, marking the first instance of a budget being presented on a Sunday (though it has been presented on weekends before). The parliamentary budget session will commence on January 28 and continue until April 2, divided into two phases.
Key Expectations for Budget 2026
Key Expectations for Budget 2026
- Tax Relief: There is a growing demand for increased income tax exemptions for the salaried class, such as raising the basic exemption limit or the 80C limit.
- Capex and Infrastructure: Focus on roads, railways, electric vehicles, artificial intelligence, defense, and manufacturing.
- Sector-Specific Support: Support for sectors like AYUSH, tourism, real estate, MSMEs, agriculture, and exports (expansion of the PLI scheme).
- Global Challenges: Emphasis on self-reliance in light of US tariffs and economic growth considerations.