Budget 2026: The next phase of India’s growth depends on resolving a critical imbalance

India Budget 2026 Expectations: As Budget 2026 approaches, urban India's middle class is holding back on discretionary spending, impacting economic value chains. While rural demand has recovered, urban consumption remains fragile due to persistent inflation in essentials and EMI burdens. Policy measures focusing on tax relief and reducing system friction are crucial to revive urban spending without compromising fiscal discipline.