Archive · 1 Feb 2026
Union Budget 2026-27: Mixed Reactions on Health, Growth, and Inclusion
The Union Budget 2026-27, presented by Finance Minister Nirmala Sitharaman, has received mixed reactions from different sectors.
While some praise it as balanced and growth-oriented, others criticize it for neglecting key areas like health and education.
The health sector saw a nominal increase in allocation, but when adjusted for inflation, it was only a 3.5% rise, which is less than what was spent in 2020-21.
Important health programs like the National Health Mission faced cuts, while schemes like the Pradhan Mantri Jan Arogya Yojana (PMJAY) saw increased funding despite criticisms of its effectiveness.
In education, states like Telangana and Kerala expressed disappointment as no new Indian Institute of Management or Central University was announced for them.
Farmers in Punjab and Haryana were also unhappy as the budget did not address their key concerns like minimum support price (MSP) and agricultural infrastructure.
The budget was praised by some as visionary and people-centric, but others, especially from non-BJP ruled states, expressed disappointment and criticism.
The budget also focused on manufacturing, exports, and infrastructure, with significant allocations for sectors like biopharma, electronics, and urban development.
However, public health experts and civil society groups demanded a clear roadmap to raise public health spending and strengthen primary care.
The Union Budget 2026-27 saw a nominal increase in health sector allocation, but only a 3.5% real increase, which is less than what was spent in 2020-21.
The National Health Mission faced an 8% budget cut in real terms, while the Pradhan Mantri Jan Arogya Yojana (PMJAY) saw a 36% increase in allocation despite criticisms of its effectiveness.
States like Telangana and Kerala expressed disappointment as no new Indian Institute of Management or Central University was announced for them, reviving concerns over access to marquee public higher-education institutions.
Farmers in Punjab and Haryana expressed disappointment as the budget did not address key concerns like minimum support price (MSP) and agricultural infrastructure.
The budget was praised by some as visionary and people-centric, but others, especially from non-BJP ruled states, expressed disappointment and criticism.
- Who
- The Indian government, various state governments, opposition parties, industry leaders, and public health experts
- What
- The Union Budget 2026-27 and its impact on health, education, farmers, manufacturing, and infrastructure
- When
- February 1, 2026
- Where
- India
- Why
- To address various sectors' needs and priorities, with mixed outcomes and criticisms
- Budget Allocation for Health (2026-27)
- ₹1,10,939 crore
- Budget Allocation for Health (2025-26)
- ₹1,03,851 crore
- Real Increase in Health Budget
- 3.5%
- Health as % of GDP (2026-27)
- 0.28%
- Health as % of GDP (2020-21)
- 0.37%
- Allied Health Professionals to be Created
- 1.5 lakh
- National Health Mission Budget Cut
- 8% in real terms
- PMJAY Allocation Increase (2026-27)
- 36% compared to 2024-25
- PMJAY Allocation (2024-25)
- ₹7,500 crore
- PMJAY Actual Expenditure (2024-25)
- ₹6,983 crore
- Nominal GDP Growth for FY27
- 10%
- Gross Tax Collections Growth for FY27
- 8% (₹44 lakh crore)
- Budgeted Capital Expenditure for FY27
- ₹12.2 lakh crore
- Fiscal Deficit for FY27
- 4.3% of GDP
- Biopharma Shakti Outlay
- ₹10,000 crore over five years
- Container Manufacturing Scheme Outlay
- ₹10,000 crore
- Carbon Capture Utilisation and Storage Outlay
- ₹20,000 crore over five years
- Electronics Components Manufacturing Scheme Outlay
- ₹40,000 crore
- PMAY-Urban Allocation
- ₹18,625 crore
- PMAY-Urban 2.0 Allocation
- ₹3,000 crore
- AMRUT Allocation
- ₹8,000 crore
- Mission Shakti Allocation
- ₹3,605 crore
- Divyangjan Kaushal Yojana Allocation
- ₹200 crore
- Divyang Sahara Yojana Allocation
- ₹100 crore
- Development Fund for North-East and Purvodaya States
- ₹6,812 crore
- Prime Minister’s Development Initiative for North-East Region
- ₹2,306 crore
- Urban Challenge Fund
- ₹10,000 crore
- Startup India Fund of Funds Second Tranche
- ₹900 crore
Sources
PM Internship Scheme sees sharp cut in funding in Budget 2026 amid poor response
Budget 2026: Merit-cum-Means Scholarship Sees 99 Per Cent Reduction, Maulana Azad Fellowship Cut By 16 Per Cent
Union Budget 2026: No New IIM or Central University for Telangana
Budget: Nothing for farmers, say Punjab govt, Haryana Oppn; Saini calls it ‘visionary’
Health sector continues to remain neglected
CII-AP Hails Union Budget 2026 As Balanced, Growth-Oriented
'Kerala is entirely invisible': Shashi Tharoor flags rail, AIIMS and port gaps in Budget 2026
Change and continuity
Budget makes a targeted push to drive manufacturing, exports
Parsa Venkateshwar Rao Jr | Budget 2026-27 Brings Back Old Populist Rhetoric, But It’s Still Muted
Budget 2026: Health, AYUSH Get Push, Public Health Gaps Remain, Say Experts
Budget 2026 Lays Strong Foundation For India’s Biopharma Growth
Union Budget 2026-27: FM walks the Kartavya path