Union Budget FY27 to focus on capex growth, deficit control: EY

EY says the FY27 Union Budget will prioritise capex-led growth while sticking to deficit reduction. With GDP growth at 8.2% and inflation at 0.7%, the government has room to boost public capital spending. EY expects sustained capex growth, tight revenue spending, and adherence to 4.4% deficit target, with further fiscal consolidation in FY27, despite global trade uncertainties persisting globally.