New Delhi: The Finance Ministry will commence the pre-budget exercise for the fiscal year 2026-27 from October 9, 2025, against a backdrop of geopolitical uncertainties and a steep 50 per cent US tariff on shipments from India.

The upcoming budget is expected to focus on boosting domestic demand, generating employment, and steering the economy towards a sustained growth trajectory of over 8 per cent. The government currently estimates the Indian economy to grow between 6.3 and 6.8 per cent during the ongoing financial year.

According to the Budget Circular (2026-27) issued by the Department of Economic Affairs, pre-budget meetings chaired by the Secretary (Expenditure) will begin on October 9.

Financial advisers are required to ensure that all necessary details in appendices I to VII are completed by October 3, 2025, with hard copies submitted for cross-verification. The Budget Estimates for 2026-27 will be provisionally finalised after these meetings, while Revised Estimate (RE) discussions will continue until mid-November 2025.

All ministries and departments have been instructed to submit details of autonomous bodies and implementing agencies, explaining the reasons for their continuance and the requirement for grant-in-aid support, along with justification for not winding them up. The Union Budget 2026-27 is likely to be presented on February 1, 2026, during the first half of the Parliament’s Budget session.

Since the preponement of the Budget, first implemented by Finance Minister Arun Jaitley in 2017, ministries now receive allocations from the start of the financial year in April. This allows government departments greater flexibility in spending and provides companies more time to plan their business and taxation strategies. The current fiscal budget has projected a nominal GDP growth of 10.1 per cent and pegged the fiscal deficit at 4.4 per cent of GDP.