200+ Days of Planning: How India’s Union Budget 2026-27 is Being Built?

While the rest of the country gears up for New Year celebrations, inside North Block the countdown to February 1, 2026 has already begun. The massive, ultra-secure exercise to craft the Union Budget 2026-27 – India’s annual economic roadmap for 1.4 billion people – is in full swing.Here’s the step-by-step journey of how the world’s largest democracy prepares its most important financial document:1. August–September 2025: The silent startThe Budget Division of the Ministry of Finance fires off the first circular to every ministry, department, state government, Union Territory and public-sector body.“Submit your revenue estimates and expenditure demands for 2026-27” – this single letter triggers thousands of Excel sheets across the country.2.

October–November 2025: The number-crunching marathon

• Revenue Department forecasts GST, income tax, customs, disinvestment receipts
• Expenditure teams scrutinise every ministry’s wish list
• Chief Economic Advisor prepares the Macro-Economic Framework Statement
• NITI Aayog aligns demands with Viksit Bharat @2047 goals

3. December 2025: The great pre-Budget tamashaFinance Minister Nirmala Sitharaman holds back-to-back meetings:

• State finance ministers (GST Council coordination)
• FICCI, CII, ASSOCHAM, NASSCOM and startups
• Farmers’ bodies, trade unions, NGOs
• Top economists and think-tanks

This year’s hot topics: boosting manufacturing PLI schemes, easing fiscal deficit below 4.5%, tackling food inflation, climate-resilient infra, and export diversification.4. January 2026: The final cut

• FM and PMO lock expenditure ceilings for each ministry
• Revenue Secretary presents the final fiscal deficit math
• Cabinet gives its nod (usually mid-January)

5. The legendary Halwa Ceremony (last week of January)Sweet halwa is prepared in North Block’s basement kitchen and served to the entire Budget team. From this moment, 100+ officers and staff go into complete lockdown – phones surrendered, no contact with the outside world – until Nirmala Sitharaman rises in Parliament.6. February 1, 2026 – The big revealAt 11 a.m., the Finance Minister presents her record 9th consecutive Budget (surpassing Morarji Desai’s 8). Simultaneously, every document goes live on the Union Budget Mobile App and indiabudget.gov.in.Fun fact: The entire process involves over 5 lakh data points, 90+ pre-Budget meetings, and printing of thousands of copies under 24×7 CCTV and armed guard – all to deliver a 2-hour speech that will shape India’s economy for the next 365 days.