Union Budget 2026–27 Bolsters Infrastructure Push with INR12.2 Lakh Crore Capex, Risk Guarantee Fund to Boost Project Viability

By Ms. Aparna Reddy, Executive Director, Aparna Enterprises Ltd on infrastructure segment

“We welcome the Union Budget 2026–27, which reinforces infrastructure as a key pillar of India’s growth journey. The enhanced capital expenditure allocation of ₹12.2 lakh crore signals continued support for large-scale construction and connectivity projects, helping sustain momentum across the infrastructure ecosystem. The proposed Infrastructure Risk Guarantee Fund addresses an important challenge in project execution by helping mitigate risks during the construction and early development phases. By improving financing confidence for developers and lenders, this measure can contribute to stronger project viability and more predictable execution timelines.

The Budget’s emphasis on planned urban development through City Economic Regions, along with continued infrastructure expansion in Tier II and Tier III cities, reflects an approach that supports more balanced urban growth beyond traditional metropolitan centres. As these emerging cities continue to grow, improved connectivity and infrastructure are expected to drive demand for housing, commercial real estate, and supporting urban amenities. This expansion will translate into sustained construction activity and steady demand for high-quality building materials such as cement and concrete. The scale and spread of infrastructure initiatives outlined in the Budget create a conducive environment for long-term capacity building in the construction sector, supporting the development of resilient cities and addressing the evolving needs of a rapidly urbanising population.”

We would be grateful if you could consider including this quote in your upcoming coverage on the Post-Budget. Please feel free to reach out if you would like additional insights or clarification to support your story.

More From Author

Budget 2026–27 Targets Global Trade Risks With Rare Earth Corridors and Industrial Ecosystem Expansion

Union Budget 2026 Plays It Safe on Housing, Misses Chance to Revive Affordable Segment Despite Urban Growth Push

Leave a Reply

Your email address will not be published. Required fields are marked *

Win-Back and Re-Engagement Campaigns

Categories