Budget 2026 Reactions LIVE: 100% Tax Holiday for Data Centres Till 2047 May Reshape India’s Digital Economy

Prateek Maheshwari, Co-Founder of PhysicsWallah, said the Union Budget 2026 rightly recognises the need to link education with employability by integrating emerging technologies such as AI into learning from school to higher education.

"The decision to launch AVGC (animation, visual effect, gaming and comics) Content Creator Labs in 15,000 schools and 500 colleges is a forward looking step, as we know that this sector will require millions of professionals and we are finally moving beyond rote-learning methods to make Bharat skill-based and future-ready right from the classroom," he said.

"We welcome the announcement of the high level 'Education to Employment and Enterprise' committee because it has the potential to bridge the gap between degrees and employability," Maheshwari added.

He further said that while the reduction in TCS on overseas education is positive, improving affordability of education within India remains crucial for wider access.

"When we look at the first kartavya of ‘enhancing productivity, competitiveness and resilience to global volatility’ in Budget 2026, it’s clear that access to basic digital tools plays a central role," said, Chitranshu Mahant, CEO and Co-Founder, Primebook India.

"Government’s plan to set up 15,000 AVGC content creator labs in schools is a step towards more practical, skills-oriented learning. For students to benefit from these initiatives, affordable and dependable personal computing devices will be essential to support everyday digital and creative work," he added.

The focus on infrastructure, manufacturing and defence strengthens medium-term growth drivers and boosts India’s competitiveness in services such as IT and digital infrastructure, says Venkatesh Balasubramaniam, managing director & head of research at JM Financial Institutional Securities.

“Budget FY27 strikes a careful balance between growth support and fiscal discipline. It reinforces macroeconomic stability through a credible path of fiscal consolidation while sustaining a strong public capex push focused on infrastructure, manufacturing and defence," Balasubramaniam said. "However, the market impact is mixed. Higher government borrowings and an increase in derivatives transaction taxes could weigh on bond yields, banks, NBFCs and market-linked businesses in the near term. While measures like buyback tax rationalisation provide some relief, the Budget prioritises long-term economic strength over short-term market sentiment," he added.

Union Finance Minister Nirmala Sitharaman launched the Bio-Pharma SHAKTI scheme with an outlay of ₹10,000 crore. "The boost to biopharma and medical devices comes at a crucial moment for capacity expansion and domestic value creation," Sachidanand Upadhyay, managing director & chief executive officer, Lord's Mark Industries Ltd., said. "Coupled with sustained semiconductor and electronics incentives, the Budget lays the groundwork for a robust ecosystem supporting advanced diagnostics, med-tech, and digital health. These interventions strengthen India’s trajectory toward becoming a high-value, innovation-centric global manufacturing hub.”

Prime Minister Narendra Modi hails Union Budget 2026 as historic and ambitious, outlining a road map for Viksit Bharat 2047 with a focus on growth, fiscal discipline, and higher capital spending.

 “This budget is the highway for immense opportunities. It gives shape to the dreams of the present and strengthens the foundation of Bharat’s bright future. It is a strong base for our soaring flight towards a developed India,” Modi said.

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