Former HM Chidambaram delivers fiery 12-minute response to Union Budget 2026, slams key policies

Feb 02, 2026

New Delhi, February 1, 2026 (ANI): In an exclusive with ANI, former union Finance Minister P. Chidambaram said the Union Budget shows a focus on infrastructure with a 9% rise in capital expenditure to ₹12.2 lakh crore, including seven high-speed rail corridors and 20 new waterways, which partially meets corporate and infrastructure expectations. He welcomed initiatives like rare earth corridors in Odisha, Kerala, Tamil Nadu, and Andhra Pradesh, Semicon Mission 2.0, and tax holidays for data centres as critical to India’s strategic and digital ambitions. However, he noted that more could have been done to boost growth, job creation, and support key sectors amid global uncertainties and US tariff threats. The 15% increase in defence spending post-Op Sindoor reflects security priorities, while fiscal consolidation remains on track with a 4.4% FY26 deficit and 4.3% FY27 target. Chidambaram pointed out gaps in MSME support, healthcare, and rural employment, and cautioned that shifts in oil sourcing from Iran to Venezuela could impact the economy, challenging overly optimistic narratives.