The Union Budget for FY27 "gives some hope to the infra space after two consecutive years of disappointment," signalling a potential rebound in government spending, noted a Nuvama Research report on the recently announced Budget 2026.
"The immediate reaction would be the consolidation of the fiscal deficit. Our recommendation initially was a 5.4% fiscal deficit, but it's now 5.1%, which is a very significant step forward, but at the same time, does not sacrifice the focus on growth. So the capex spend has increased by