INTERVIEW | Budget shunned short-term populism, reflects yearning to be developed nation: PM Modi
NEW DELHI: Calling productive spending a hallmark of his government, Prime Minister Narendra Modi on Sunday said the just unveiled Union Budget deliberately avoided short-term populism and instead channelled record capital outlays into infrastructure to drive jobs and sustainable growth.
In an exclusive interview with PTI, Modi said this year's Budget was not a 'now or never moment' born out of compulsion but a 'we are ready' moment born out of preparation and inspiration. He asserted that it reflects India's "yearning" to become a developed nation.
Modi said his government has used its years in office to plug "structural gaps left behind by earlier administrations", pursued bold reforms and laid the foundations for a developed India. He asserted that the latest Budget marks the "next level" of that journey.
Describing the Budget for fiscal year starting April 1 as reflective of his governance approach, Modi said the document "is a good reflection of our governance style and priorities."
Modi added that none of his government's budgets have been made with an attitude of creating run-of-the-mill 'bahi khata' documents as "that is not our approach."
Recalling that a few years ago, he had declared from the ramparts of the Red Fort, that 'Yahi Samay Hai, Sahi Samay Hai", Modi said a "now is the time" sense of purpose has always been there within his government.
"But today, that sense of urgency has become a national conviction, a whole-of-society resolve. There is a new confidence in our nation," he said.
"Our national character has revealed itself even in times of different kinds of challenges and we are a bright spot of growth even in difficult global circumstances," he said.
Budget, a 'we are ready' moment
Asked whether he has determined that India is now ready to launch into the next phase of development toward a moonshot for Viksit Bharat by 2047 and was it a now-or-never situation, Modi said the post-pandemic world order is opening new doors for India with countries eager to partner with it in trade and innovation.
"We have a young and increasingly skilled population; and we are focusing on strong growth accompanied by low inflation and macroeconomic stability. Our youth are creating waves in fields as diverse as space, sports and startups. We have ensured political stability and a reform-oriented policy environment," the prime minister said.
"And because of these developments, people are seeing this as a historic opportunity for India. Even as these developments were gaining momentum, the nation also witnessed the historic Azadi Ka Amrit Mahotsav, which infused the people with a sense of mission," he said in a written interview.
Pointing to the the behavioural transformations that have taken root over the last few years, Modi said whether it is cleanliness or any other issue, people know that building a developed nation is not just about infrastructure or economy, but also about social habits.
"So, this is not a 'now or never' moment born out of compulsion. It is a 'we are ready' moment born out of preparation and inspiration. This Budget reflects this yearning to become a developed nation," Modi said.
Therefore, this budget should not be seen just as Budget 2026 but as the first budget in the second quarter of the 21st century, he said.
This budget consolidates the gains made since 2014 and builds upon them to impart momentum for the next quarter-century.
Just as the decisions and initiatives taken in the 1920s laid the foundation for Independence in 1947, the decisions we are taking now are laying the foundation for Viksit Bharat by 2047," he asserted.
Budget reflects 'whole of the nation thinking'
Modi said none of his government's budgets have been made with an attitude of creating a run-of-the-mill 'bahi khata' documents.
"Because that is not our approach. It is my privilege that people's blessings have been with me for a long time, and I have served for 25 years as the head of government, first at the state level and now at the national level. If one takes a closer look at my approach in the last 25 years, it becomes clear that our work doesn't happen in bits and pieces," Modi said
"There is a broader strategy, a plan of action and an effective implementation that reflects the 'whole of the nation' thinking, continuity of purpose and a long-term vision, progressively unfolding step by step, year after year," the prime minister added.
Since 2014, the nation has come to view the Budget as far more than a ledger of numbers, facts, or ad hoc announcements, he said.
Modi asserted that each budget has contained intent, a clear-cut roadmap, and a sequence of actions, each with stated timelines for achieving them. Then we focus on implementation, and in the next Budget, it is taken to the next logical step, he said.
In these years, we have addressed the structural gaps left behind by earlier administrations, undertaken bold structural reforms, expanded opportunities for the poor, empowered our youth, strengthened the role of women and ensured dignity and security for our farmers, he said.
"Along with this, we deployed an inclusive, tech-driven, yet human-centric welfare architecture that reaches the last mile and leaves no one behind," Modi said.
At every stage, the guiding focus has been nation-building, strengthening the economy and laying the foundations of Viksit Bharat, the prime minister said.
"This Budget represents the next level in this journey, imparting momentum to our 'Reform Express.' It is designed to accelerate momentum and prepare our youth for the opportunities of a rapidly changing world," he said.
He cited the pre-Budget Economic Survey to state that capital accumulation, labour formalisation, and digital public infrastructure together have elevated India' potential growth rate to 7 per cent.
"Productive spending has been a hallmark of our government. The high capital expenditure reflects our focus on infrastructure and capital investment, which are strong engines for long-term growth," he said in the written interview to PTI.
'Broken and outdated infrastructure has no place'
The FY27 Budget sharply scales up capital expenditure to Rs 12.2 lakh crore - a 5-times increase compared to 2013 - as the Modi government reinforces its strategy of prioritising infrastructure creation, logistics expansion and investment in sunrise sectors to drive long-term growth.
It lays emphasis on spending on rail, roads, digital and energy infrastructure, alongside measures to ease compliance and improve credit flow as the central lever for job creation and economic momentum.
"This reflects a conscious strategic choice to invest in assets that create productivity, jobs, and future economic capacity rather than short-term populism. This shows that our focus is on improving the quality of life for the people, creating jobs for our youth and advancing the nation's progress towards Viksit Bharat," Modi said.
For a long time, the prime minister said, high-quality infrastructure had been neglected, posing a challenge for the people and Indian businesses.
"Broken and outdated infrastructure has no place in a nation that aspires to create a Viksit Bharat," he said.
"Therefore, we revolutionised the sector with our speed, scale and focus on creating next-gen infrastructure, while upgrading the existing infrastructure. In the last decade or so, India has seen perhaps the most expansive infrastructure-building effort in our history, an unprecedented emphasis on quality! The most important aspect of this has been the way we have created infrastructure with the future in mind."
Highlighting the scale of expansion, he said the number of airports has doubled as orders for thousands of aircraft are placed, number of cities with metro services has more than quadrupled, rural roads and internet connectivity are expanding rapidly, and investments made in the transformational expansion of freight corridors, ports, and coastal connectivity.
On sectoral allocations, he said a capital outlay of almost Rs 3 lakh crore has been made for Indian Railways, with a priority on high-speed connectivity, freight capacity, and passenger safety.
Seven new high-speed rail corridors are proposed to be developed to connect major Indian cities, including the South High-Speed Diamond corridor, which will significantly benefit Karnataka, Telangana, Andhra Pradesh, Tamil Nadu, Kerala, and Puducherry.
At the same time, Dedicated Freight Corridors are being expanded to decongest passenger routes and reduce logistics costs for industry.
Allocations for national highways have increased nearly 500 per cent compared to a decade ago. Highlighting investments in emerging sectors, Modi said investments are being made in sunrise sectors, including biopharma, semiconductors, electronics component manufacturing, rare earth corridors, and chemical parks.
"These will provide a new impetus to jobs and investment while strengthening India's future," he said.