New Delhi, Jan 26 (NationPress) As India gears up for the Union Budget 2026-27, industry perspectives indicate a decisive move away from mere headline announcements towards a focus on policy direction, continuity, and effective execution, according to a survey released on Monday.

In light of global uncertainties and a carefully managed fiscal consolidation aiming for a deficit of approximately 4.4% of GDP, Budget 2026 is interpreted as a reflection of India's medium-term economic strategy, as highlighted in Grant Thornton Bharat's 'Pre-Budget Survey 2026.'

With anticipations of economic growth around 6.5%–7% for FY26 and central government capital spending exceeding three times its FY20 amount, businesses making strategic decisions regarding capacity, supply chains, and decarbonization are in search of stable policy frameworks, practical incentives, and streamlined execution rather than fleeting or short-term strategies.

Regarding fiscal strategy, survey participants advocate for a measured approach. While 35% prioritize growth and employment even if it delays fiscal consolidation, 28% call for a balance between controlling the deficit and promoting growth-oriented expenditure. Additionally, 26% emphasize the need for strong fiscal discipline to maintain investor confidence, showcasing widespread support for fiscal responsibility without hampering economic momentum.

In the realm of trade, a simplified and predictable export incentive structure stands as the primary concern for 40% of respondents, followed closely by the finalization of free trade agreements with crucial partners at 31%.

Businesses are keen on minimizing disruptions during the transition to the New Income Tax Act. Desired forms of support include extended transition timelines with relaxed penalties (28%), dedicated assistance channels (26%), and sector-specific government-industry consultations (25%).

Among salaried taxpayers, 44% feel that lower tax rates or broader slab intervals would enhance the appeal of the new regime, followed by the introduction of limited deductions at 26%.

Sector-specific innovation funds and weighted tax deductions for R&D, each backed by 30% of respondents, are identified as the most effective tools, alongside public-private partnerships in research, emphasizing the significance of initiatives that directly reduce the cost and risk associated with innovation.

Long-term infrastructure investments are driven more by certainty than by incremental incentives.

A stable tax regime for InvITs, REITs, and infrastructure bonds is recognized by 41% of participants as the key factor in attracting long-term capital, followed by tax certainty for PPP and hybrid structures (23%) and streamlined cross-border funding approvals (19%).

Renewable energy and storage infrastructure emerge as the top priority area (43%), reflecting the transition towards clean energy, followed by urban infrastructure (26%) and transport and logistics (21%).

On the ease of doing business, 40% of respondents prioritize the simplification of compliance and licensing, while 33% advocate for timely service delivery obligations from public authorities.

Reducing tax uncertainty and expediting dispute resolution are essential but secondary to the need for upfront regulatory clarity and process efficiency, as noted by the survey.

Richa Sawhney, Partner at Grant Thornton Bharat, stated, "Across tax, trade, and customs, the survey highlights a recurring theme: businesses are seeking enhanced clarity and predictability. Whether regarding the transition to the new Income Tax Act, GST administration, or digital integration in customs, the focus remains on stable frameworks, smoother execution, and reduced compliance burdens."

In customs, aligning classification and origin regulations with global standards (39%) and lowering duties on strategic manufacturing inputs (30%) are seen as pivotal measures to boost competitiveness, further emphasizing the necessity for a predictable duty roadmap.