Gold prices do not always move in one direction; there is always a phase of rise and fall in prices. And gold prices have fallen from their recent highs. Investors are curious why the prices are falling. This sudden movement has caught investors’ attention, raising questions and discussions across the market as they try to understand the shift in gold’s short-term trend.
In today’s blog post, we will give you the key reasons why the gold price is going down.
Why are gold prices going down?
The key reasons behind why gold prices are going down are as follows:
Strengthening the US Dollar: Generally, gold prices move opposite to the US dollar. If the dollar strengthens, gold becomes expensive for buyers, which reduces demand and pushes the price down.
Increasing Interest Rate: Rising interest rates make fixed-income investments more attractive to investors. Therefore, investor’s moves towards it and shift away from it.
Profit Booking: The gold prices have risen significantly in the past few months, and investors are booking profits in it, which creates short-term pressure on it.
Geopolitical Tension: Gold is often considered a haven. And as the global tensions are easing the demand for gold decreases.
Decreasing Inflation: As inflation is slowing down, the need to hold gold decreases, as it is used as a hedge against inflation.
Shift in demand for jewellery: Recent higher gold prices have caused many buyers to delay their purchase, which causes further pressure on the gold prices.
Past 5 Years Gold Returns
The past years’ gold returns are as follows:
Year
Gold Price (₹ per 10g, 24 K)
Approx. YoY Return (%)
2019
39,108
—
2020
50,151
28.20%
2021
48,099
–4.1%
2022
55,017
14.30%
2023
63,203
14.90%
2024
78,245
23.80%
2025
1,02,170
30.60%
Based on the above table, we can conclude that only 2021 saw a slight decline because of post pandemic period, and for the rest of the duration, Gold has delivered double-digit returns, including the last year 2025.
Importance of Gold Prices in the Indian Economy
Household Preferred Store of Value: The Indian families have a deep faith in gold as a secure store of value. With the rise in the price of gold, the net worth of households rises, particularly in rural India, where gold is a significant type of savings. Gold prices also increase investor confidence in gold as a risk hedge in times of economic uncertainty.
India Import Bill and Current Account Impact: The majority of the gold is imported into India. When the price of gold goes up, the country’s import bill goes up and may cause a widening of the current account deficit and strain on the rupee. On the other hand, low or stable gold prices assist in minimising external trade pressure.
Investment and Financial Markets: The prices of gold have an influence on the allocation of investors to gold, equities, and fixed income. An increase in prices is normally a sign of economic uncertainty, whereas a decrease in prices may indicate an increasing risk appetite. Gold ETFs, Sovereign Gold Bonds and digital gold have also made gold a stronger force in India’s financial system.
Policy Decisions and Government Measures: Sudden spikes in the price of gold usually cause government intervention either by adjusting import duty or encouraging financial gold (SGBs, Gold ETFs) to minimise physical gold demand and control foreign exchange outflows.
Factors Affecting Gold Prices in India
Gold prices in India are affected by various factors, a few of which are as follows:
International Gold Prices: Gold is traded in US dollars around the world. The Indian gold rates are directly affected by any increase or decrease in the world gold prices.
US Dollar and Rupee Exchange rate: A depreciated Indian rupee against the US dollar will make imports of gold more costly, which will raise domestic gold prices despite the global price being steady.
Inflation: Gold is considered a hedge against inflation, and when it rises, investors start to purchase gold, which increases the demand and pushes the prices upward.
Interest Rate: If the interest rate in the economy is reduced, the fixed income securities or investment options become less attractive; hence, investors move towards gold as an investment vehicle, which increases demand and puts pressure on the price.
Conclusion
On a concluding note, gold prices have shown a sudden fall after making a lifetime high. Investors are in confusion about why prices are falling, but the key reasons behind such a fall include weakening INR, profit booking, lower interest rates, geopolitical conditions, etc. However, they need to understand that decreasing gold prices reflect the improving economic conditions. If an investor is looking to invest in gold, they can easily invest through Gold ETFs, mutual funds, etc., Platforms like Pocketful make the process simple and convenient, but only after consulting with their investment advisor.
Frequently Asked Questions (FAQs)
Why is there a sudden sharp fall in gold prices?
The key reasons behind the fall in gold prices include improving geopolitical conditions, profit booking after recent highs, and shifting investor sentiment in the short term.
Is it the right time to invest in Gold?
Yes, it is the right time to invest in gold, but one should make a strategic allocation by investing through SIPs.
Will Gold prices rise again in future?
Yes, Gold prices will rise again in future as historically gold has shown a cyclical movement. The current correction is short-term; in the long run, gold prices will rise.
How does the Indian rupee affect gold prices?
India primarily imports gold from other countries, and a weakening INR can put pressure on gold prices, whereas a stronger rupee can help in stabilising the gold prices.
How stock market affect gold prices in an economy?
If the stock market is performing well, people will shift towards the capital market, which reduces the demand for gold, and prices will fall.
Today, smart investors are choosing to pledge their ETFs to obtain margin rather than selling them. This allows them to utilize additional funds while retaining their holdings, which is beneficial for trading and short-term opportunities. This approach not only improves financial planning but is also more tax-efficient. In this blog, we will explain the rules, benefits, and risks associated with ETF pledging in simple terms.
What Does Pledging ETFs for Margin Mean?
When you pledge your ETF holdings as collateral with your broker instead of selling them, it’s called pledging. In return, you receive additional margin for trading. Simply put, your ETF units remain in your demat account, but the broker considers them as security and provides you with funds.
What is the difference between selling and pledging an ETF?
Point
On selling ETFs
On pledging ETFs
Ownership
You lose ownership
You remain the owner
How funds are received
After selling the ETF
Without selling
Tax impact
Capital gains tax may apply
No tax impact
Dividend benefit
No dividend
Dividend continues
Does the ETF remain in your name after pledging it?
Yes, absolutely. Even after pledging, the ETF remains in your demat account. The only difference is that the broker has a security right over it. The ETF remains pledged until you repay the margin loan.
Your rights remain intact
Even after pledging the ETF:
You remain the true owner.
You receive dividends.
You benefit from any corporate actions (such as splits, dividends).
Just remember that you cannot sell the ETF while it is pledged.
How do you receive dividends and benefits from corporate actions?
If a dividend is declared on your pledged ETF, it will be credited directly to your account. Similarly, if there is a unit split or any other corporate action, it will be applied in the usual way.
Before pledging ETFs for margin, it is crucial to understand these important rules to avoid any potential losses.
Rule
Meaning
Haircut %
The broker deducts a portion of the ETF value as security.
Approved ETFs
Only highly traded (liquid) ETFs are accepted.
Daily MTM
The margin value is updated daily.
Interest Charges
No interest is charged for intraday trades.
Liquidation Risk
The broker can sell the ETF if its value falls below initial margin.
What do SEBI regulations say?
According to SEBI, all securities must now be pledged through the CDSL/NSDL system. This makes investors’ holdings more secure, and prevents anyone from using shares or ETFs without permission. This rule has been implemented to increase transparency and safety.
Why do different brokers have different policies?
Each broker has:
A different haircut percentage
A different interest rate for overnight trades
Different policies regarding which ETFs can be pledged
Therefore, always check your broker’s margin policy before pledging your securities.
How to Pledge ETFs?
The process of pledging ETFs is similar across almost all brokers. Whether you’re using the Pocketful app or another trading platform, the basic steps remain the same:
Step 1: Log in to your trading app
First, log in to your broker’s app or website (such as Pocketful).
Step 2: Go to the Holdings section
Go to your portfolio and select the ETF you want to pledge.
Step 3: Select the Pledge option
Click on the Pledge or Margin option provided next to the ETF.
Step 4: Verify with OTP
You will receive an OTP on your registered mobile number from CDSL/NSDL. Enter the OTP to confirm the process.
Step 5: Wait for margin credit
After confirmation, the specified margin will be credited to your account within a short time.
Before pledging ETFs for margin, it is crucial to understand these important rules to avoid any potential losses.
Rule
Meaning
Haircut %
The broker deducts a portion of the ETF value as security.
Approved ETFs
Only highly traded (liquid) ETFs are accepted.
Daily MTM
The margin value is updated daily.
Interest Charges
Interest is charged on the margin used.
Liquidation Risk
The broker can sell the ETF if its value falls.
What do SEBI regulations say?
According to SEBI, all securities must now be pledged through the CDSL/NSDL system. This makes investors’ holdings more secure, and prevents anyone from using shares or ETFs without permission. This rule has been implemented to increase transparency and safety.
Why do different brokers have different policies?
Each broker has:
A different haircut percentage
A different interest rate
Different policies regarding which ETFs can be pledged
Therefore, always check your broker’s margin policy before pledging your securities.
Which ETFs Are Eligible for Pledging?
Not all ETFs can be pledged. Generally, only those ETFs with good liquidity and stability are accepted.
ETFs that are commonly accepted :
Nifty 50 ETFs : Easily accepted due to high trading volume
Sensex ETFs : Considered reliable due to the stable index
Gold ETFs : Accepted by many brokers due to low volatility
Liquid ETFs : Due to low risk and high liquidity
ETFs that are not easily accepted:
Low Volume ETFs : Those with low trading activity
Sector-based ETFs : Due to higher volatility
International ETFs : Many brokers do not allow them due to foreign exposure
Benefits of Pledging ETFs
Funds without selling holdings : Pledging your ETFs means you don’t have to sell your long-term investments. Your holdings remain secure, and you get the funds when you need them.
Lower interest rates : Compared to personal loans or credit cards, the margin received against pledged ETFs typically comes with lower interest rates.
Continued dividend income : Even after pledging your ETFs, you remain the true owner, so you continue to receive dividends and other benefits.
Tax savings : Since you are not selling your ETFs, capital gains tax does not apply.
Flexible use of funds : You can use the margin received for trading or to meet your short-term financial needs.
Market Volatility : If the market falls sharply, the value of your pledged ETFs may decrease. This can also reduce your margin.
Forced Liquidation : If your account falls below the required margin level and you don’t add funds, the broker may sell your ETFs.
Interest Burden : The more margin you use, the more interest you will have to pay. Holding positions for a long time can increase costs and reduce profits.
Risk of Over-Leveraging : Easy access to funds can lead many people to trade excessively, increasing the risk of losses.
Margin Call : If the market falls, the broker may ask you to deposit additional funds, which is called a margin call.
Increased Haircut : During periods of sharp decline, the broker may suddenly increase the haircut, which reduces the available margin.
Decreased Collateral Value : As the price of the ETF falls, the value of your pledged collateral also decreases, affecting your trading capacity.
Conclusion
If you ever need money but don’t want to sell your ETF investments, pledging them can be a good option. Just be sure not to take on excessive margin and check your account regularly. With proper control and planning, this facility can be helpful, but carelessness can be costly. So, make your decision wisely.
S.NO.
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India’s clean energy story is moving into its next phase. Adding solar and wind capacity is no longer enough. The real challenge now is storage. This is where BESS stocks are starting to gain serious attention from investors.
Renewable power is not available all the time, and this is one of the reasons that you need to store it for future use. Battery Energy Storage Systems help solve this gap. They offer a solution that can help store the surplus energy that is generated. Now, this can be released when demand rises. This makes Battery Energy Storage System stocks a key part of India’s power and grid stability plans.
Now you must be wondering which these stocks are exactly and where you should invest? Well, there are various companies in this segment, and if you are looking to invest in them, then you must know the key options.
So, read this guide to know the best BESS stocks in India. These are the ones that offer exposure to a long-term infrastructure and clean energy theme. This sector is still evolving, which makes early tracking important.
What Are BESS Stocks?
BESS refers to Battery Energy Storage Systems. These are the companies that are involved in the process of storing electrical energy for later use. All these systems help with the management of the power and support during various phases. These stocks are known to offer stability and ensure that the dependence on non-renewable sources is less.
When you invest in BESS stocks, you are investing in companies that benefit from:
Increase in the capacity of renewable energy.
Supports better stabilisation, which is key.
Helps with a stable supply when needed.
Support the management of energy during low and high demand phases.
When it comes to working, you will find the BESS stocks in the following three segments.
Power generation and utility companies are adding storage projects.
Battery manufacturers are expanding into lithium-ion and grid storage.
Renewable energy and EPC companies are integrating storage with solar and wind.
The performance of BESS stocks depends on project execution, policy incentives, technology costs, margins, and long-term demand growth.
Top 10 BESS (Battery Energy Storage) Stocks in India (2026)
BESS stocks offer investors an opportunity to participate in a fast-evolving sector. While many companies are entering this space, some stand out due to scale, execution capability, and long-term strategy.
Here are the top 10 BESS stocks in India based on market relevance, size, and sector exposure:
Name
Share Price (₹)
Market Cap (₹ Cr)
52 Week High (₹)
52 Week Low (₹)
Tata Power Company Ltd
368
1,17,795
495
322
JSW Energy Ltd
494
86,380
740
410
NTPC Ltd
349
3,38,400
425
292
Exide Industries Ltd
345
29,380
431
328
Amara Raja Energy & Mobility Ltd
874
15,998
1,118
832
HBL Power Systems Ltd
878
24,343
1,122
405
Sterling & Wilson Renewable Energy Ltd
198
4,627
710
191
Adani Energy Solutions Ltd
936
1,12,320
1,350
639
Oriana Power Ltd
1,877
3,988
3,064
1,000
GenSol Engineering Ltd
783
2,975
1,380
760
NOTE: This data as on 30 Jan 2026 is for educational purposes only. It is devised to check the insights well before investing.
Now that you know the best BESS stocks in India, let us explore each company briefly to understand its business focus and investment appeal.
1. Tata Power Company Ltd
Tata Power Company Ltd one of India’s largest integrated power companies. This company operates across generation, transmission, and distribution. The company has been steadily expanding its renewable portfolio.
Its focus on grid-scale storage helps manage peak demand and renewable variability. Strong balance sheet support and diversified operations provide long-term stability. Among BESS stocks in India, Tata Power appeals to investors seeking steady growth rather than short-term volatility.
Know the Returns
Period
Return %
1 Day
0.50
1 Year
-5.00
3 Years
28.00
5 Years
120.00
2. JSW Energy Ltd
JSW Energy has transformed itself from a conventional power producer into a diversified energy company. It is aggressively expanding its work into renewables and battery storage. The major inclusion is in the utility-scale BESS projects.
The company’s focus on long-duration storage. This aligns well with India’s future energy needs. While the stock can be volatile during sector cycles, long-term investors may benefit from its strategic positioning.
Know the Returns
Period
Return %
1 Day
-0.20
1 Year
3.00
3 Years
55.00
5 Years
210.00
3. NTPC Ltd
This is not a new name in the power sector. It is India’s largest power generation company. It plays a key role in national energy planning. It is integrating battery storage with renewable and thermal power plants to improve efficiency and reliability.
Its strong cash flows and government backing reduce financial risk. NTPC is suitable for conservative investors looking for stable exposure to the BESS theme.
Know the Returns
Period
Return %
1 Day
0.30
1 Year
7.00
3 Years
35.00
5 Years
140.00
4. Exide Industries Ltd
Exide Industries Ltd it comes to the BESS stocks, this is a company that cannot be left out. It is a well-known battery manufacturer that offers services to multiple sectors. Today, it is transitioning into lithium-ion and grid-scale storage solutions.
The company is working on the production of lithium-ion batteries. At the same time, it is planning the expansion to storage sectors as well. The wide experience and years of work make this a trusted name in the industry.
Know the Returns
Period
Return %
1 Day
0.10
1 Year
-2.00
3 Years
25.00
5 Years
90.00
5. Amara Raja Energy & Mobility Ltd
Amara Raja is steadily moving beyond traditional lead-acid batteries. It is now working on advanced energy storage solutions. The company is investing in lithium-ion technologies. This is mainly used with renewable energy sources.
The main focus is on new partnerships and scaling. Over time, this strategic transition supports stable and long-term growth. This makes it a notable name in the Battery Energy Storage System ecosystem.
Know the Returns
Period
Return %
1 Day
0.20
1 Year
10.00
3 Years
48.00
5 Years
200.00
6. HBL Power Systems Ltd
It works mainly in specialised batteries and power electronics. The company supplies battery solutions for defence, railways, and industrial uses. It is also expanding its presence now. This is mainly in energy storage systems linked to renewable power.
With experience in mission-critical applications and steady order flows, HBL Power Systems has a practical role in India’s growing Battery Energy Storage System space.
Know the Returns
Period
Return %
1 Day
0.40
1 Year
6.00
3 Years
40.00
5 Years
150.00
7. Sterling & Wilson Renewable Energy Ltd
Sterling & Wilson Renewable Energy Ltd focuses on engineering and project execution in renewable energy. The company is involved in large solar projects and grid-linked energy infrastructure, where battery storage is becoming essential.
Its strength lies in execution capability and project scale. As BESS adoption grows alongside solar capacity, Sterling and Wilson stand to benefit from integrated storage-linked renewable projects.
Know the Returns
Period
Return %
1 Day
-0.50
1 Year
15.00
3 Years
50.00
5 Years
180.00
8. Adani Energy Solutions Ltd
Adani Energy Solutions Ltd company needs no introduction. It plays a key role in power transmission and grid infrastructure across India. As renewable energy capacity rises, the need for grid stability and storage-linked solutions is increasing.
The company’s focus on transmission networks and energy corridors places it well to support large-scale Battery Energy Storage System integration over the long term.
Know the Returns
Period
Return %
1 Day
0.60
1 Year
25.00
3 Years
85.00
5 Years
300.00
9. Oriana Power Ltd
Oriana Power Ltd company that works mainly in solar energy projects and clean power solutions. The company is gradually expanding into energy storage to support reliable power supply for commercial and industrial users.
As battery storage becomes important for managing solar power, Oriana Power has a growing role in the Battery Energy Storage System space, especially at the project level.
Know the Returns
Period
Return %
1 Day
0.10
1 Year
18.00
3 Years
60.00
5 Years
250.00
10. GenSol Engineering Ltd
GenSol Engineering Ltd company works across solar power, clean energy projects, and electric mobility. The company is gradually adding energy storage solutions to support reliable power supply in renewable projects.
Its strength lies in project execution and on-ground implementation. As renewable projects grow in size and complexity, GenSol’s experience positions it well to participate in storage-linked infrastructure developments.
Know the Returns
Period
Return %
1 Day
0.30
1 Year
8.00
3 Years
45.00
5 Years
210.00
Key Performance Indicators (KPIs)
While this is true that all these BESS stocks are top performers, before investing, you must know certain details as well. So, these are the KPIs that you should evaluate.
When you plan to invest in the BESS stocks, there are multiple things that you would need to consider. The simple steps that you would need to follow are as below:
Step 1: Open your trading and Demat account on Pocketful through online KYC.
Step 2: Research BESS stocks using fundamentals, returns, and business quality.
Step 3: Decide your investment amount based on goals and risk tolerance.
Step 4: Place your buy order at market or limit price.
Step 5: Track performance and sector developments regularly.
Who Should Invest in BESS Stocks
Long-term investors with a horizon of five years or more
Investors comfortable with emerging technologies
Those seeking exposure to clean energy infrastructure
Investors tracking policy-driven growth sectors
Pros of Investing in BESS Stocks
Exposure to clean energy and storage growth
Long-term demand driven by renewable expansion
Government support for energy transition
Potential for strong multi-year returns
Cons of Investing in BESS Stocks
Capital-intensive nature of projects
Technology and execution risks
Policy and regulatory uncertainties
Volatility in mid- and small-cap stocks
Conclusion
BESS stocks provide a practical way to participate in India’s clean energy transition. These are not just the companies in the energy sector, but are the future of energy as well. These will define how the companies operate and how power is used. This makes them a great choice for investing as well.
But when you invest in this, you need to stay patient. BESS stocks are perfect for long-term investing, but only when you study and analyse them well. This is where you need to use Pocketful. Get all the insights and data needed to ensure that you are not just investing right but also making profits.
S.NO.
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What drives the performance of BESS stocks in India?
The key drivers of the BESS stocks in india include the demand and renewable capacity growth, storage projects, policy incentives, and execution quality.
Are BESS stocks suitable for beginners?
Yes, but beginners should focus on established companies. This will help them with better returns and they can diversify later.
How long should one hold BESS stocks?
If you are looking to generate wealth from the BESS stocks, then treat them as a long-term investment for 3-5 years.
What are the key risks in BESS stocks?
While there can be various reasons for the delays, the major ones are the project delays, funding pressure, and technology changes.
Can BESS stocks be part of a diversified portfolio?
Yes, they complement the renewable, utility, and infrastructure sectors well which makes a good pick for the future.
Union Finance Minister Nirmala Sitharaman presented the Union Budget 2026 in Parliament on February 1, 2026, at 11:00 AM, marking her ninth consecutive budget presentation. Her budget speech lasted approximately 85 to 90 minutes, during which she clearly outlined the country’s economic direction and the government’s priorities. This budget was not merely a presentation of figures, but was also linked to the vision of a developed India (Viksit Bharat) by 2047.
The main focus of this budget was on economic growth, increasing investment, maintaining fiscal stability, strengthening the manufacturing sector, the MSME sector, and healthcare services. The government aims to create new employment opportunities while maintaining the stability of the country’s economy and strengthening India’s position on the global stage.
The Union Budget 2026 is extremely important for ordinary citizens, businesses, investors, states, and the entire economy, as it sets the direction for policies and expenditures for the coming year.
Union Budget 2026: Key Highlights
Key areas / indicators
Budget 2026 announced
Public capital expenditure (Public Capex)
₹12.2 lakh crore for the financial year 2026–27.
Fiscal Deficit
4.4% of GDP
Debt-to-GDP ratio
55.6%
Income tax slabs
No changes were made.
Cancer medications
No changes were made.
High-speed rail corridor
Seven new high-speed rail corridors will be built in the country.
Semiconductor Mission
The launch of ISM 2.0, with a budget of ₹40,000 crore.
MSME Growth Fund
A new fund of ₹10,000 crore for small industries.
Rare Earth Corridor
Special corridors in Tamil Nadu, Kerala, Odisha and Andhra Pradesh.
Bio-Pharma Power Plan
A new scheme has been launched with an investment of ₹10,000 crore.
Carbon Capture Fund
₹20,000 crore for the steel and cement sectors.
The share received by the states
₹14 lakh crore (41% of total tax transfers)
Electronics Manufacturing
The budget has been increased to ₹40,000 crore.
Textile Park
Large mega textile parks will be built in the country.
Freight Corridor
New freight train corridor from Dankuni (West Bengal) to Surat
Ayurvedic AIIMS
3 new Ayurvedic AIIMS will be established.
Medical tourism
Five regional medical tourism hubs will be created.
Women’s entrepreneurship
The launch of SHE (Self Help Entrepreneur) stores.
Urban development
₹5000 crore per city (over 5 years) for City Economic Regions.
Coastal Cargo Scheme
Increase the share of waterways and coastal shipping from 6% to 12% (by 2047).
Developed India Goal
All schemes are linked to the Viksit Bharat 2047 vision.
Income Tax & Direct Tax Announcements
In the Union Budget 2026, the government has focused on simplifying and streamlining the tax system rather than changing tax rates. Finance Minister Nirmala Sitharaman clearly stated that there have been no changes to the income tax slabs this year, but the rules and procedures have been simplified for the convenience of taxpayers.
No Change in Income Tax Slabs : The income tax slabs have been kept unchanged in Budget 2026. The government believes that maintaining stability in tax rates is better than making changes in the current economic climate. This will ensure fiscal discipline and allow for continued spending on development-related schemes.
Tax Filing Process Simplified : For the convenience of taxpayers, the deadline for filing revised returns has been extended from December 31st to March 31st. Additionally, rules related to TDS on property sales for NRIs have been simplified, and the deadlines for filing returns for different categories have been clarified to avoid confusion for taxpayers.
Relief in TCS on Foreign Expenditure : The Tax Collected at Source (TCS) on remittances for foreign travel, education, and medical treatment has been reduced to 2 percent. This will provide direct relief to students, patients, and other individuals traveling abroad, reducing their additional expenses.
Foreign Asset Declaration Scheme : This budget introduces a six-month foreign asset declaration scheme. This scheme is specifically for individuals who have lived abroad for education or work and may have inadvertently failed to properly declare their tax-related information. They can now declare their foreign assets and regularize their tax status.
Healthcare & Pharma Focus
Relief on Cancer Medicines : Customs duty has been completely waived on 17 cancer medicines. In addition, import duties have been exempted on medicines and medical food used in the treatment of 7 rare diseases, making treatment more affordable for patients.
New Medical Institutions : Three new Ayurvedic AIIMS (All India Institute of Medical Sciences) will be established in the country. A proposal has been made for the establishment of NIMHANS-II to strengthen mental health services in North India.
Bio-Pharma Shakti Scheme : A “Bio-Pharma Shakti” scheme with an outlay of ₹10,000 crore has been launched to promote the bio-pharma sector. Its objective is to strengthen research, drug manufacturing, and innovation.
Medical Tourism : Five regional medical tourism centers will be established to make India a medical tourism hub.
In the Union Budget 2026, the government has prioritized the infrastructure sector to accelerate connectivity and urban development. New high-speed rail corridors, freight networks, and the development of Tier-2 and Tier-3 cities will directly benefit trade, employment, and regional economies.
1. High-Speed Rail and Freight Corridors
The country plans to build seven high-speed rail corridors to facilitate faster travel between major industrial and IT cities and boost trade.
Key Routes:
Mumbai – Pune
Pune – Hyderabad
Hyderabad – Bengaluru
Bengaluru – Chennai
In addition to this, a new dedicated freight corridor will be built from Dankuni in West Bengal to Surat in Gujarat. This will expedite freight movement and reduce logistics costs.
2. Investment in Cities
The government aims to develop Tier-2 and Tier-3 cities as new economic hubs. City Economic Regions (CERs) will be created for this purpose, with each region receiving approximately ₹5000 crore in investment over the next five years. The objective is to strengthen road, transport, and trade infrastructure.
Manufacturing & Technology Focus: From Chips to Textiles
The government has launched the India Semiconductor Mission 2.0 with a budget of ₹40,000 crore to accelerate chip manufacturing and research. The outlay for electronics manufacturing, including mobile phones and electronic components, has also been increased to ₹40,000 crore. In addition, large-scale mega textile parks, container manufacturing units, and chemical parks will be established through a challenge-based approach, which will boost employment and strengthen domestic industries.
Key announcements
Area
Announcement
Semiconductor
India Semiconductor Mission 2.0 – ₹40,000 crore
Electronics
Manufacturing outlay: ₹40,000 crore
Textile
Mega Textile Park
Industry
Container manufacturing units
Chemical sector
New Chemical Park (Challenge Route)
Rare Earth & Clean Energy Corridors
The 2026 budget places a strong emphasis on rare earth minerals and clean energy to strengthen the EV and renewable energy supply chains. The aim is to make India self-reliant in future technologies.
Rare Earth Corridor (State-wise)
State
Initiative
Odisha
Rare Earth Corridor
Kerala
Rare Earth Corridor
Tamil Nadu
Rare Earth Corridor
Andhra Pradesh
Rare Earth Corridor
Important announcements related to clean energy
Exemption from customs duty on raw materials for sunglasses.
Customs duty exemption on products of lithium-ion battery companies.
A fund of ₹20,000 crore for carbon capture in the steel and related sectors.
MSMEs & Employment Generation
Several practical steps have been announced to strengthen MSMEs, women’s entrepreneurship, and skill development.
Initiative
Description
MSME Growth Fund
A fund of ₹10,000 crore has been created to enable small industries to expand and create new jobs.
SHE Stores
Community-owned retail stores for women, where they can sell their products.
ICAI and ICSI Support
Short-term modular courses that provide young people with industry-ready skills.
Mahatma Gandhi Gram Swaraj Initiative
Scheme to promote rural industries, khadi and handicrafts.
Tourism, Culture & Sports Development
Budget 2026 emphasizes connecting the tourism and sports sectors with employment generation and regional development.
Key Announcements –
National Institute of Hospitality : A national institute will be established for the tourism and hospitality sector to strengthen skill development and training.
Development of Buddhist Circuit : Buddhist circuits will be developed in Andhra Pradesh, Sikkim, Mizoram, and Tripura, promoting religious tourism and boosting the local economy.
Bird Watching Trails : Bird-watching trails will be created in the Pulicat Lake region of Andhra Pradesh and Tamil Nadu to promote eco-tourism.
Khelo India Mission (10-year roadmap) : A plan to nurture sporting talent over the next 10 years, focusing on training centers, sports science, and infrastructure.
Global Big Cat Summit : India will host the Global Big Cat Summit for the first time, with representatives from approximately 95 countries participating.
Medical Tourism Hubs : Five regional medical tourism hubs will be established in the country to develop India as an affordable and reliable medical treatment destination.
Conclusion
The Union Budget 2026 is a budget focused on accelerating growth, strengthening manufacturing, and prioritizing healthcare. Its vision is clearly aligned with the goal of a developed India by 2047 (Viksit Bharat 2047). The government has pushed for increased investment in infrastructure, industry, and social sectors while maintaining a balance between growth and fiscal discipline. Overall, this budget can be considered a solid step towards long-term economic stability and inclusive development. Stay updated with the latest market information – download Pocketful and begin your investing journey with zero brokerage.
Frequently Asked Questions (FAQs)
Is there any change in Income Tax slabs in Budget 2026?
No, there are no changes to the income tax slabs in Budget 2026.
What relief is given to cancer patients in Budget 2026?
Customs duty has been completely removed on 17 cancer medicines, which will make treatment cheaper.
How many new high-speed rail corridors are announced?
7 new high-speed rail corridors have been announced in Budget 2026.
What is the total capital expenditure (Capex) for FY 2026-27?
The government has allocated ₹12.2 lakh crore for capital expenditure in FY 2026-27.
What is Biopharma Shakti Yojana?
This is a ₹10,000 crore scheme under which 3 new institutions will be opened for biopharma research and manufacturing.
The long-running negotiations between India and the European Union have finally culminated in a historic Free Trade Agreement. This agreement, reached after nearly 20 years of talks, is considered one of the world’s largest trade deals. It connects a market of approximately two billion people and has the potential to significantly impact global trade. At a time when high tariffs imposed by the US and global tensions are affecting trade, the India-EU agreement offers both new opportunities and a new direction.
What is the India–EU Free Trade Agreement (FTA)?
This Free Trade Agreement between India and the European Union is intended to give a new impetus to trade between the two. The agreement was finalized in January 2026 after nearly 20 years of negotiations. It is considered India’s largest trade agreement to date with the 27 countries of the EU. This deal will provide easier access to the European market for Indian sectors such as textiles, gems and jewelry, and marine products, while opening up the Indian market to European car and machinery companies. Overall, this agreement is a significant step towards strengthening India-EU economic relations for the long term.
India-EU Trade Deal: At a glance (Key Facts)
Trade Overview
Point
Information
Total market size
Approximately USD 24 trillion
The population associated with this
Approximately 2 billion people
India’s exports to the EU (2024–25)
Approximately USD 76 billion
Total merchandise trade
Approximately USD 137 billion
Trade in services
Approximately USD 83 billion
India’s access to the EU market
Almost all of the business (99.5%)
How did the EU reduce taxes on Indian goods?
The European Union has decided to gradually remove import duties on most Indian products.
EU Tariff Changes – for Indian Exports
Method
Meaning
Instant discount on most items
More than 90% of India’s exports will benefit.
Discounts are offered on some products every 3-5 years.
Limited category
In some cases, a quota system
Selected products
overall
Almost the entire business is covered.
What decision did India make regarding EU products?
India will also reduce taxes on goods coming from Europe, but this process will be gradual.
India Tariff Changes – for EU Exports –
Point
Situation
How many products are included?
Approximately 92%
Products with instant discounts
About half
Phased exemption (5–10 years)
Approximately 40%
Fruits such as apples, kiwis
Allowed in limited quantities.
Which Indian sectors will benefit the most?
This agreement will particularly strengthen industries that generate a large number of jobs.
Sector
Tax now
What will happen next?
Textiles and garments
Up to 12%
Complete freedom
Leather and shoes
Up to 17%
Zero tax
Seafood
Up to 26%
Almost complete exemption
Medical equipment
6–7%
Almost finished
Gems and Jewelry
4%
complete exemption
Chemicals
Up to 12%
Discounts on most items.
Furniture/Decor
up to 10
Low tax
European Export Winners: Cars, Wine and Spirit
This agreement will provide significant relief to Europe’s automobile and wine industries in the Indian market. The high import duties currently levied on cars will be gradually reduced. This will make premium European cars relatively cheaper in India, likely leading to increased sales.
Category
Current situation
After the agreement
Tariffs on cars
Approximately 110%
Reduced to 10% (limited number available)
Annual car import limit
–
2.5 lakh vehicles
Cars cheaper than €15,000
General rules
The tariff will be higher.
Electric vehicles (EVs)
–
5-year grace period
Tariffs on wine
150%
20–30%
Spirits (alcohol)
150%
40%
CBAM: Carbon Border Adjustment Mechanism and Its Impact
CBAM is a new European Union policy that will impose additional charges on highly polluting products. This rule will come into effect on January 1, 2026. The goal is to ensure that all goods sold in Europe, whether imported or domestically produced, bear the same cost in terms of carbon emissions.Despite the India-EU Free Trade Agreement, India has not been granted any significant exemptions under CBAM. This means that even though tariffs may be reduced on many Indian products, goods such as steel, cement, and aluminum will still be subject to a carbon tax. This could increase costs for some Indian companies, particularly small and medium-sized enterprises.
The impact of CBAM
Who will be affected?
What will change?
Large companies
It is possible to adopt the rules.
Small industries (MSME)
Reporting and expenses will increase.
Small Industries (MSME)
The price could be expensive in Europe.
European industry
Domestic companies will benefit.
How Can India Respond to CBAM?
Europe’s new carbon regulations will not be easy for Indian industries. Companies will now have to disclose the carbon footprint of their products. Large industries may be able to manage this, but for small businesses, it will mean new costs and added complications. This is why India is now working to refine its carbon credit system and encourage industries to adopt cleaner technologies. In the future, only companies that produce goods with minimal pollution will be able to compete in the European market.
India’s preparation :
Step
Objective
CCTS
Promoting carbon trading
MRV System
Measuring and recording emissions
MSME Support
Reducing the burden on small industries
Green investment
Strengthening long-term competitiveness
Why India–EU Deal Took Nearly 20 Years (Background)
Trade negotiations between India and the European Union began in 2007, but several issues remained unresolved. India wanted to protect its domestic industries, particularly in the agriculture and automobile sectors. The EU, on the other hand, insisted on the strict inclusion of environmental regulations and labor laws in the agreement.
Differences also persisted regarding trade in services and regulatory standards. The negotiations stalled for a considerable period. However, in 2022, due to changing global circumstances and trade pressures, both sides returned to the negotiating table, and an agreement was finally reached in January 2026.
India-EU FTA negotiation timeline
Year
Main event
2007
The conversation begins.
2013–2021
The talks were interrupted several times.
2022
The conversation resumed.
January 2026
The agreement is complete.
Global Trade and Geopolitical Impact
US Tariffs and the Need for New Markets : High US tariffs have forced both India and Europe to seek new trade routes. This is why the India-EU agreement has progressed rapidly, allowing both sides to access a large and reliable market.
Reducing Dependence on China : Many countries today do not want their trade to be solely dependent on China. The India-EU deal aims to diversify supply chains, shifting business towards stable partners like India and Europe.
Renewed Trust in India-EU Relations : This agreement is not limited to the buying and selling of goods. It demonstrates that India and Europe now view each other as long-term trading and strategic partners.
Promoting Rules-Based Trade : This deal sends a message that trade should be based on established rules and agreements, not political pressure. This increases both trust and stability in global trade.
Implementation Timeline
Legal Drafting and Technical Review
After reaching an agreement, both parties will now finalize the legal draft. This will involve reviewing the clarity of the language, the interpretation of the clauses, and the technical aspects to prevent any future confusion or disputes.
Approval by the Indian Parliament
In India, the agreement will be presented to Parliament. The process of officially implementing it can only proceed after it receives parliamentary approval.
Approval by the European Parliament and EU Member States
In the European Union, the agreement will be approved by the European Parliament and all member states. This process may take time as each country will review it at its own level.
When will the agreement come into effect?
If all legal and political approvals are obtained on time, the India-EU Free Trade Agreement is expected to come into effect by the end of 2026 or the beginning of 2027. Following this, tariff reductions and trade benefits will be implemented in a phased manner.
Conclusion
The India-EU Free Trade Agreement is not just an agreement to reduce tariffs, but a turning point in India’s global trade policy. It will open up significant export opportunities, but will also require industries to adapt to environmental and quality standards. Its true success will depend on how intelligently it is implemented on the ground and how effectively small businesses are supported in the process.
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If you have also been tracking silver prices lately and felt annoyed, confused, or slightly worried, you are definitely not alone. Almost every correction triggers the same questions in an investor’s mind
Why is silver down today?
Why is silver dropping so suddenly?
Why is silver going down when inflation has not disappeared?
Silver can rally sharply, then fall just as fast, often without warning. Price drops in silver are rarely random. Once you understand the reasons, you will easily comprehend the metals. Let us break this down for you in simple language. In this blog, we will clearly explain why silver prices fall, what really drives these sudden corrections, and how investors should understand silver’s volatility with clarity and confidence.
Current Silver Scenario in the Markets
Silver often wears two hats. On one side, it is a precious metal, a hedge, a store of value, an alternative to currency and on the other hand, it is an industrial metal, used in solar panels, electronics, EVs, and medical equipments.
So when prices fall, it is not about just one thing. Silver reacts to both economic fear and economic growth. That dual nature is the key to understanding why silver is down today.
On 29 January, silver on the MCX was trading at ₹420,048. What followed was a sharp and rapid correction. Prices slid to ₹291,925, wiping out ₹128,123 in value, a decline of roughly 31%.
To put this in perspective, nearly a third of the price was erased in a short span, the kind of move that forces traders to reassess positions rather than simply “wait it out.”
Key Reasons of the Fall
1. New Chairman of Federal Reserve
The immediate trigger was the nomination of Kevin Warsh as the next Chair of the Federal Reserve by President Donald Trump. For markets, this mattered more than it may sound at first.
Warsh is widely seen as hawkish on inflation, i.e., he controls rising prices over promotion of short-term economic growth.
In simple terms, markets interpreted his nomination as a signal that easy money is unlikely to return anytime soon. That expectation alone was enough to reset prices.
2. A Strong US Dollar Is Often the Immediate Trigger
If you are looking for the most common and most boring (but powerful) reason, this is it.
Silver is priced globally in US dollars. When the dollar strengthens, silver automatically becomes more expensive for buyers in other currencies. Demand softens, and prices slip.
3. Sometimes the Fall Is Just Profit Booking
This happens even when nothing has changed about silver itself. Not every fall needs a scary explanation. Silver is volatile which is part of its personality.
After a sharp rally, traders do what traders always do: they book profits. Funds rebalance. Algorithms trigger sell orders. Momentum fades, and a quick drop can be seen which is nothing but just regular profit booking.
4. Increase Copper Margin Requirements
A SEBI Registered commodity expert stated that the selling pressure did not come out of nowhere. It built up quietly, and then hit all at once.
It started when the Chicago Mercantile Exchange raised margin requirements on copper contracts to 20%. That move immediately set off alarm bells across the commodities market. Traders began worrying: If copper margins can be raised overnight, could gold and silver be next? Those fears spread fast.
At the same time, gold and silver prices were already stretched to their limits. They had rallied hard and were sitting in overbought territory, the zone where even a small trigger can cause a sharp pullback.
Traders rushed to cut positions before margins could rise, triggering panic selling.
5. Reduction in Import Duty of Gold & Silver in Budget 2026
The Government of India may consider cutting import duties on gold and silver to revive demand in the jewellery sector. That sector has been under visible strain after a sharp rise in precious metal prices, which has made jewellery increasingly unaffordable for everyday buyers.
Several delegations from the gems and jewellery sector have reportedly urged the government to reduce import duties on gold and silver. Lower duties could bring prices down slightly, improve affordability, and help revive volumes. Now here’s where markets start reacting before anything is officially announced.
If the government signals or confirms a duty cut in the Union Budget 2026, domestic gold and silver prices could face further pressure.
6. Unchanged Fed Rates
When the Federal Reserve chose to keep interest rates unchanged, the US dollar got a fresh boost. That strength made gold and silver costlier for overseas buyers, which quickly cooled buying interest. At the same time, higher yields in the system made assets like bonds more attractive, pulling money away from non-yielding metals such as gold and silver.
What to Expect Ahead?
After a sharp correction like this, the most important thing to remember is simple: markets rarely bounce back immediately.
Instead of a rebound, silver is more likely to enter a phase of consolidation. Prices may move up and down within a range as the market digests what just happened. Momentum does not return instantly.
In simple terms, buyers turn cautious, sellers hesitate, and volumes dry up until a clearer signal emerges.
For prices to move meaningfully higher from here, silver will need fresh support on technical charts.
On the downside, the risk is not completely off the table either. If concerns around margins, policy uncertainty, or global growth resurface, silver could still test lower support levels. After a big fall, markets often retest investor confidence before stabilising.
Conclusion
The recent decline in gold and silver was caused by a combination of pressure points happening simultaneously, including hawkish signals by the Federal Reserve, concerns about tightening margin and speculation on domestic policy regarding import duties.
Above all, this action is more of a post-overheated rally erase than a beginning of a down cycle. Once the prices ascend too rapidly, markets are likely to come down in a big way. It is painful, yet it is natural, particularly in commodities.
It is not about panicking and rather about discipline. Those who remain patient and clear about their time horizon usually come out stronger on the other side.
For more market news and insights, download Pocketful – offering zero brokerage on delivery trades and an easy-to-use platform designed for both new and experienced investors.
Frequently Asked Questions (FAQs)
Why is silver down today?
Silver is under pressure due to a stronger US dollar, elevated interest rates, and profit booking after a sharp rally.
In trading and investing, most people obsess over returns. Professionals obsess over survival.
Risk management is not about eliminating losses that is impossible. It is about staying in the markets long enough for skill, discipline, and patience to work in your favour. Every major blow-up in financial history, from hedge funds to individual traders, has one thing in common: risk was misunderstood, ignored, or underestimated.The books below do not just teach formulas. They train your thinking. Together, they help you understand where risk actually comes from and how it behaves under stress.
In this blog, we will explore the books and principles that reshape how professionals think about risk, survival, and long-term success in the markets.
What is Risk Management?
The habit of thinking ahead about what can go wrong and deciding how much damage you are willing to live with if it does is called risk management.
In markets, losses are not a sign of failure. They are inevitable. Risk management exists to make sure a single bad decision, a sudden market shock, or an emotional mistake does not reset years of your progress.
For investors, risk management shows up through diversification, sensible asset allocation, and avoiding temptation. For traders, it is position sizing, stop-losses, and understanding how leverage magnifies losses far faster than gains
This book explores how financial risk behaves when markets stop acting “normally.” Most investors assume prices move in predictable patterns, but this book explains why extreme losses are far more common than we expect and why diversification often fails during market crashes.
It uses advanced statistical tools to study risk, dependence between assets, and extreme events. From a reader’s perspective, the biggest value is understanding why portfolios that look safe on paper can suddenly fall apart during crises like 2008 or COVID.
2. Value at Risk by Author – Philippe Jorion
This book explains Value at Risk (VaR) in a practical way. VaR answers a simple question: “How much could I lose on a bad day?” But Jorion goes further and shows why VaR must be handled carefully.
For example, a daily VaR of ₹5 lakh does not mean losses cannot exceed that number; it only means they usually should not. The book is especially useful for readers who want to understand how banks and funds measure risk, while also learning why relying only on VaR can be dangerous during sudden volatility.
3. Risk Management and Financial Institutions by Author – John C. Hull
This is one of the most accessible introductions to professional risk management. Hull explains how banks think about market, credit, liquidity, and operational risk.
What makes the book valuable is how it connects theory with real institutional behaviour, such as why capital buffers matter or why liquidity dries up exactly when it’s needed most. From a reader’s point of view, it helps explain why retail investors often feel surprised during crises while institutions plan for stress scenarios in advance.
4. Options, Futures, and Other Derivatives by Author – John C. Hull
Although this book focuses on derivatives, it is deeply relevant to risk management because derivatives are usually designed to reshape risk. It explains how options, futures, and swaps behave under changing market conditions and why hedging is never a “set and forget” exercise.
For instance, a position may be delta-neutral today but become risky tomorrow when volatility spikes. Readers come away with a clearer understanding of why hedged trades can still lose money.
5. The Black Swan by Author – Nassim Nicholas Taleb
This book challenges the belief that the future can be predicted using past data alone. Taleb focuses on rare, high-impact events that markets fail to price in until it is too late.
Written in simple, engaging language, it explains why financial systems break not on ordinary days, but during extreme ones. For readers, the key lesson is to build portfolios that can survive surprise rather than rely on confident forecasts.
6. Fooled by Randomness by Author – Nassim Nicholas Taleb
This book explores how easily humans confuse luck with skill, especially in markets. A trader may experience a winning streak and assume brilliance when randomness plays a large role.
Taleb uses relatable examples to show how overconfidence builds quietly before a major loss. From a reader’s perspective, this book is especially useful during bull markets, where poor risk management often goes unnoticed.
7. The Essentials of Risk Management by Author – Crouhy, Galai & Mark
It explains how organizations identify risk, set limits, define risk appetite, and build reporting structures. Many financial disasters do not happen because risks were unknown, but because warnings were ignored or incentives were misaligned.
For readers, this book highlights the truth that discipline and governance matter as much as analytics.
8. Against the Gods by Author – Peter L. Bernstein
This book tells the story of how humans learned to understand uncertainty, from early probability theory to modern finance. Written as a narrative rather than a textbook, it helps readers appreciate that risk management exists because the future is inherently uncertain.
It is especially refreshing for readers who want intuition and perspective rather than formulas, and it builds humility, an underrated skill in investing.
9. Financial Risk Manager Handbook by Author – GARP
This handbook is a structured reference covering all major areas of financial risk management, including market, credit, operational risk, and regulation. It is designed for FRM candidates but works equally well as a practical guide for professionals. From a reader’s point of view, it’s not meant to be read like a story; rather, it is the book you return to when you need clarity, definitions, or quick validation of concepts.
10. The Failure of Risk Management by Author – Douglas W. Hubbard
This book questions why risk management often fails despite sophisticated tools. Hubbard argues that many risks can be measured more effectively than people assume and that vague labels like “high” or “low” risk aren’t actionable. For readers, the key takeaway is learning to think in probabilities and ranges rather than absolutes. It’s particularly useful for professionals who want to improve decision-making rather than just comply with frameworks.
Conclusion
Most people enter markets chasing returns. The ones who last learn to respect risk.
The books in this list approach risk management from different directions, such as statistics, institutional frameworks, behavioural psychology, history, etc. Together, they teach a powerful lesson that risk is not a side topic in finance. It is finance.
You do not need to master every model or read all ten books at a go. Even adopting one or two ideas can significantly improve long-term outcomes. Markets will surprise you. They always do, but risk management will help you survive them with your confidence. Apply your theoretical knowledge through real market execution with Pocketful. Begin your investing and trading journey on a low-brokerage, intuitive platform designed for practical decision-making.
S.NO.
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India’s growth story is visible on the ground. Roads, metros, airports, housing, and smart cities are shaping daily life. This is why many investors are now tracking the best construction stocks in India closely.
The construction sector benefits directly from government spending, private capex, and long-term infrastructure plans. From large EPC players to specialised builders, these companies play a key role in nation-building.
In this blog, we will explore India’s construction stocks, focusing on companies with strong order books, long-term project visibility, and consistent execution. We will explain how this sector aligns with India’s infrastructure-led growth and what investors should evaluate before investing.
What Are Construction Stocks?
Construction stocks are shares of companies involved in building and infrastructure development. These businesses work on projects like roads, highways, bridges, railways, metros, airports, housing, and industrial facilities. When you invest in construction stocks, you are investing in companies that benefit from government spending, urban growth, and private sector expansion.
In India, construction stocks often include the following:
EPC companies
Real estate developers
Infrastructure builders
Their performance depends on project execution, order books, funding conditions, and overall economic growth.
Top 10 Construction Stocks in India
Construction stocks offer you a great opportunity to invest in companies with high growth potential. While there are many such stocks that you can invest in, you must know the top construction stocks in India that offer you better returns. This can be identified based on their consistency in performance and market capitalisation.
So, here are the top 10 construction stocks in India that you should consider for sure:
Name
Share Price (₹)
Market Cap (₹ Cr)
52 Week High (₹)
52 Week Low (₹)
Mahindra Lifespace Developers Ltd
396.75
8425.91
427.05
255.87
Man Infraconstruction Ltd
125.06
5124.95
245.72
117.12
PSP Projects Ltd
881.95
3508.69
1029.90
609.00
B L Kashyap & Sons Ltd
51.36
1152
84.69
45.00
Vascon Engineers Ltd
48.46
1088.91
74.59
31.98
Consolidated Construction Consortium Ltd
18.05
806.85
28.87
10.84
Modis Navnirman Ltd
334.65
653.27
409.00
304.50
Pansari Developers Ltd
304.45
532.13
352.30
142.05
Parsvnath Developers Ltd
10.03
443.45
27.29
9.78
RBM Infracon Ltd
434.50
434.73
744.00
249.85
NOTE: All this information is based on the data as of 6 Jan. 2026. This is for information and educational purposes only. It is bound to change with time. Hence, check the details before you invest.
Now you know which are the best construction stocks in India. So, it’s time to quickly explore brief details of each of these stocks to gain a better insight.
1. Mahindra Lifespace Developers Ltd
Mahindra Lifespace Developers Ltd company focuses on residential housing and integrated city projects. It benefits from strong brand backing and a sustainability-led approach. Its presence in key urban markets supports long-term demand. Among the best construction stocks in India, it appeals to investors looking for quality execution rather than short-term price momentum.
Know the Returns
1 Day Return %
1 Year Return %
3 Years Return %
5 Years Return %
0.44
-14.07
9.6
212
(Data as of 6 Jan, 2026)
2. Man Infraconstruction Ltd
Man Infraconstruction Ltd operates across urban real estate and infrastructure development. It has gained from city-focused projects and public sector contracts. Long-term returns reflect strong participation in growth cycles. Within construction stocks India, it suits investors who are comfortable with periodic volatility and sector-linked movements.
Know the Returns
1 Day Return %
1 Year Return %
3 Years Return %
5 Years Return %
-1.5
-47.55
72.85
426.15
(Data as of 6 Jan, 2026)
3. PSP Projects Ltd
PSP Projects Ltd company specialises in institutional, industrial, and government construction work. It is known for disciplined execution and timely delivery. A healthy order book provides earnings visibility. For investors seeking stability within construction stocks, this business offers a balanced mix of growth and operational control.
Know the Returns
1 Day Return %
1 Year Return %
3 Years Return %
5 Years Return %
-0.36
29.17
15.08
112.33
(Data as of 6 Jan, 2026)
4. B L Kashyap and Sons Ltd
B L Kashyap and Sons Ltd firm focuses on commercial buildings, IT parks, and large-scale infrastructure projects. Performance improves during private capex upcycles. Revenue can fluctuate with corporate spending trends. It is often tracked as part of the top construction stocks in India during economic expansion phases.
Know the Returns
1 Day Return %
1 Year Return %
3 Years Return %
5 Years Return %
0.51
-36.26
58.7
350.22
(Data as of 6 Jan, 2026)
5. Vascon Engineers Ltd
Vascon Engineers Ltd company operates in real estate development and EPC projects. It has exposure to residential, commercial, and industrial segments. Improved execution and balance sheet repair have supported long-term gains. It suits investors looking for turnaround stories within mid-sized infrastructure-focused businesses.
Know the Returns
1 Day Return %
1 Year Return %
3 Years Return %
5 Years Return %
1.76
-11.95
40.68
207.23
(Data as of 6 Jan, 2026)
6. Consolidated Construction Consortium Ltd
Consolidated Construction Consortium Ltd business works across industrial construction and engineering services. Its sharp long-term returns reflect recovery from earlier weak phases. While growth has been strong, earnings stability remains key to track. It is more suitable for investors with higher risk appetite and longer holding periods.
Know the Returns
1 Day Return %
1 Year Return %
3 Years Return %
5 Years Return %
-0.06
3.14
1104
3,512.00
(Data as of 6 Jan, 2026)
7. Modis Navnirman Ltd
Modis Navnirman Ltd company is engaged in real estate and infrastructure development with a regional focus. Strong multi-year returns highlight improved project execution. Lower liquidity is a factor to consider. It can fit investors seeking smaller companies with focused operations and scalable growth potential.
Know the Returns
1 Day Return %
1 Year Return %
3 Years Return %
5 Years Return %
0.36
31.54
134.82
605.86
(Data as of 6 Jan, 2026)
8. Pansari Developers Ltd
Pansari Developers Ltd firm operates mainly in real estate development projects. It has delivered strong long-term performance driven by project monetisation. Limited trading volumes require caution. It may appeal to investors willing to take selective exposure to niche developers within the top 10 construction stocks in India theme.
Parsvnath Developers Ltd company has a long presence in real estate development across multiple cities. Recent recovery has supported moderate long-term gains. Business performance remains sensitive to debt management and project execution. It suits investors tracking revival stories in established construction names.
Know the Returns
1 Day Return %
1 Year Return %
3 Years Return %
5 Years Return %
-1.57
-54.97
9.57
65.69
(Data as of 6 Jan, 2026)
10. RBM Infracon Ltd
RBM Infracon Ltd business focuses on road and highway infrastructure projects. Strong execution has driven sharp multi-year returns. Order inflows and timely completion remain key drivers. It fits investors looking for exposure to public infrastructure spending under long-term development programs.
How to Invest in Construction Stocks Using Pocketful
Investing in construction stocks is simple when you follow a clear process. With a platform like Pocketful, you can manage everything in one place without confusion.
Step 1: Open an Account on Pocketful
Start by creating your trading and Demat account on Pocketful. The process is online and quick, with basic KYC details.
Step 2: Research Construction Stocks
Use stock data, price trends, and long-term returns to shortlist companies. Focus on business quality and how well the management is working. Look for the order books and future plans.
Step 3: Decide Your Investment Amount
Fix how much you want to invest. This amount should be decided based on your goals and risk comfort. Avoid putting all funds into one stock.
Step 4: Place Your Order
Search the stock name on Pocketful, choose quantity, and place a buy order at market or limit price.
Step 5: Track and Review Regularly
Monitor performance and sector news. Focus on the company updates to decide when to hold, add, or exit.
Who Should Invest in Construction Stocks
Construction stocks suit investors who want to align their portfolio with India’s long-term growth story. These stocks work best for investors who have patience and are ready to work on the investment. So, the portfolio of investors who can invest are:
Long-term investors with a horizon of five years or more.
Investors are comfortable with sector-based ups and downs.
Those looking to benefit from infrastructure and housing growth.
Investors who track government spending and economic cycles.
Pros of Investing in Construction Stocks
Construction companies benefit directly from economic expansion and public spending. This creates long-term opportunities.
Direct exposure to infrastructure and urban growth.
Large order books provide revenue visibility.
Government projects support demand stability.
Strong returns are possible during economic upcycles.
Like any cyclical sector, construction stocks carry risks that investors must understand.
Earnings depend on project execution and timelines.
Delays can impact cash flows and margins.
High working capital needs increase financial pressure.
Returns may remain muted during slowdowns.
Conclusion
Construction stocks are one of the finest options if you wish to work on wealth generation. They offer a practical way to participate in India’s development journey. They reward patience, research, and a long-term view.
If you want to invest with clarity and control, platforms like Pocketful make the process simple. You can research, invest, and track your construction stock portfolio in one place while staying aligned with your financial goals.
S.NO.
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What drives the performance of construction stocks in India?
Construction stocks move mainly with government infrastructure spending, real estate demand, and private sector capex. Order inflows, timely execution, and cash flow management play a major role in long-term performance.
Are construction stocks suitable for beginners?
Beginners can invest, but only after understanding sector cycles. It is better to start with established companies and avoid overexposure to small, highly volatile stocks.
How long should one hold construction stocks?
A holding period of at least five years is ideal. This will allow your invest to grow and generate the wealth that you are intending to.
What are the key risks in construction stocks?
Project delays and rising input costs are the major risks to focus on. Some others include the funding issues and policy changes that can impact returns. Regular monitoring is essential.
Can construction stocks be part of a diversified portfolio?
Yes, they work well when combined with defensive and growth sectors. This will help you to create a portfolio that is balanced and spreads the risk well.
In India, Hedge funds are officially called Category III Alternative Investment Funds (AIFs). This name is a bit long, but it just means they are an “alternative” to regular options like bank deposits or gold. They are meant for “sophisticated” investors. These are people who have a lot of money and understand that high returns often come with high risks.
In simple words, a hedge fund is a pool of money from many high net-worth individuals (HNIs). A professional manager uses this money to invest in the stock market, commodities market and currency market etc. using advanced math and strategies. The goal is to get “Alpha.” This is a fancy word for returns that are better than the normal market average. They want to make sure your money grows regardless of whether the Nifty 50 index is green or red.
In this blog, we will see how hedge funds operate in India, how they generate alpha, and why they are meant for sophisticated investors.
Top Hedge Funds in India (Category III AIFs)
Rank
Fund Name
Manager
Strategy
Notable Performance (2025)
1
ASK Absolute Return Fund
ASK Group
Absolute return, long-short
Top 10 long-short (Jul 2025)
2
Abakkus All Cap / Long-Short Fund
Abakkus Asset Manager
All-cap long-short equity
3.31% (Sep 2025)
3
Negen Undiscovered Value Fund (Cat III)
Negen Capital
Value equities
3.08% (Jul 2025)
4
Motilal Oswal MOSt Focused Multicap (Cat III)
Motilal Oswal Asset Management
Focused multicap
Strong YTD mentions
5
IIFL India Special Situations Fund
IIFL Asset Management
Special situations
Consistent performer
History of Hedge Funds
It starts with Alfred Winslow Jones in 1949. He was not even a finance person; he was a sociologist. He wrote an article about how to predict the market and then decided to start his own fund. He had a simple idea: if you buy some stocks and sell others at the same time, you are “hedged”. This means you are protected.
Jones introduced two things that are still used today. First, he used “leverage.” This means he borrowed money to buy more stocks than he could afford with just his own cash. Second, he took a “performance fee.” He told his investors that he would take 20% of whatever profit he made for them. This made sure he worked very hard to make them rich. In 1966, a famous magazine called Fortune wrote about him. After that, everyone wanted to start a hedge fund.
In India, the story is much newer. For a long time, we did not have a clear way for these funds to work. Many rich Indians sent their money to other countries like Singapore or Mauritius to invest in such funds. Finally, in 2012, SEBI brought out the AIF Regulations which changed everything. And the Edelweiss Alpha Fund became India’s first registered Category III AIF in June 2013. It gave a home to hedge funds in India. Since then, the industry has grown from almost nothing to managing lakhs of crores.
Period
Average Annualized Return (Approx.)
Since Inception (June 2013)
14.4%
Last 10 Years
11.7%
Last 5 Years (Post-COVID)
22.2%
Last 3 Years
12.3%
Note: These are average index returns. Top-performing “Long-Only” AIFs have often crossed 20–25% CAGR, while “Long-Short” funds often target 12–15% with much lower volatility than the Nifty.
To understand how these funds work, we can look at the “tools” they use. Not all hedge funds do the same thing. Some are like safe boxes, while others are like racing cars. Let us break them down into simple categories so we can see which one does what.
1. Equity Long-Short Funds
This is the most popular type. When the manager is bullish on any stock, they buy it. This is called going long. At the same time, if they are bearish on stocks this is called going short. If the market goes up, their “Long” stocks make money. If the market crashes, their “Short” position actually makes money. This helps them stay positive even in highly volatile markets.
2. Arbitrage Funds
These are very safe funds, they look for tiny price differences in different markets. For example, if a stock is selling for 100 rupees in the regular market and its future price is Rs.101, they can lock in that 1 rupee profit. It is almost like a risk-free way to earn a little extra money. Arbitrage trading is not a manual human activity anymore. While a human manager oversees the strategy, the actual trading is done by computers.
3. Global Macro Funds
These funds look at the “Big Picture.” They don’t just look at one or two companies. They look at the whole world. They look at things like interest rates, oil prices, and wars. If they think the US dollar will get stronger or gold will go up, they make huge bets on that. George Soros is the most famous manager in this category.
4. Event-Driven Funds
These funds wait for something big to happen in a company. This could be a merger, a takeover, or a big lawsuit. They try to guess how the stock price will change because of this event. It is a bit like being a detective and an investor at the same time.
Advantages of Hedge Funds in India
Protection from Crashes: The biggest win is that they can protect you when the market is falling. While others are losing money, a good hedge fund might still be in the green.
High Returns: Over a long time, these funds can give better returns than traditional mutual funds. This is because they have more freedom to move money around.
Expert Management: These funds are run by the smartest minds in the business. You get access to institutional-level research that normal retail investors don’t see.
Tax Benefits: The fund pays the taxes before distributing the money to you. This means you don’t have to worry about complicated tax filings every year for every trade.
Risks of Hedge funds in India
High Entry Cost: You need Rs.1 crore just to enter. That is only suitable for the High net-worth individuals (HNIs).
Lock-in Periods: You cannot take your money out whenever you want. Many funds ask you to keep your money with them for 3 or even 5 years.
Leverage Risk: They use borrowed money to increase returns. But if a bet goes wrong, the loss is also much bigger because of that borrowed money.
Complexity: It is very hard to understand exactly what the manager is doing. You have to trust them completely with your money.
The future of money in India is changing. By 2030, we expect India to be the third-largest economy in the world. As people get richer, they will want better ways to manage their wealth. Experts believe that the AIF market (which includes hedge funds) could grow to over 500 billion dollars by 2030. This is a massive jump from where we are today.
We are also seeing the rise of GIFT City in Gujarat. This is a special financial zone that makes it very easy for international investors to bring money into India. This will bring more global technology and better strategies to our hedge fund industry. We will also see more use of Artificial Intelligence (AI). AI can look at millions of data points every second to find the best trades.
Another big change will be how we track our money. In the past, you had to wait for a paper statement from your fund manager. Now, with apps like Pocketful, everything is on your phone. You can see your stocks, bonds, and other investments in one place. Even if you are not a Rs.1crore investor yet, these tools help you prepare for that level of wealth. They make the stock market feel less scary and more like a tool for your future.
Conclusion
Hedge funds in India have come a long way since the rules were made in 2012. They are no longer just a “western” concept. They are a real and growing part of the Indian financial story. While they are meant for the wealthy today, the strategies they use are slowly helping the whole market become more mature.
If you are looking at the long term, towards 2030, the outlook is very positive. Our economy is strong, our regulators are smart, and our fund managers are among the best in the world. It does not matter if you are a big investor or not, it is important to know about these funds for your financial investments. They represent the high end of the financial world and show us what is possible with smart planning.
As an investor you should not be afraid of these complex names or big numbers. At the end of the day, it is all about making your money work for you. For financial investments one shall always stay curious, keep learning, and your financial future will be bright.
S.NO.
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A hedge fund is a special type of investment where a group of people pool their money and a professional manager uses this money for buying and selling of stocks, bonds, and other financial products. The most important thing is they can bet against the market to protect your money even during a falling market scenario.
What are the benefits of these funds compared to mutual funds?
Freedom is what you get in hedge funds, in mutual funds you stay invested all the time, but a hedge fund can move to cash or bet that the market will go down. This can lead to higher returns and less loss during market crashes.
How can I use a Hedge Fund in my investment plan?
If you have at least 1 crore rupees to spare, you can use a hedge fund to diversify your portfolio. It should usually be a small part of your total wealth. It acts as a safety net for your other investments like direct stocks or property.
Why is the year 2030 important for these funds?
By 2030, India’s economy will be much larger. This means more rich people and more companies to invest in. Experts project that the money in these alternative funds will grow by more than 5 times by then.
Can I invest in a Hedge Fund with a small amount?
Currently, the law says you need a minimum of 1 crore rupees for a SEBI-registered hedge fund (Category III AIF). However, you can use apps like Pocketful to invest in similar themes or “Pockets” of stocks with much smaller amounts to grow your wealth until you reach that 1 crore mark.
Every year before the budget, public discussion revolves around the same question: what new measures will the government introduce this time for both the common man and businesses? The Union Budget 2026 will be presented in Parliament on February 1, 2026 (Sunday) at 11:00 AM. A notable aspect this year is that despite it being a Sunday, the NSE and BSE will remain open for the entire trading day (9:15 AM to 3:30 PM). The indications emerging regarding tax relief, government spending, and various sectors are considered crucial in determining the direction of the upcoming financial year.
Union Budget 2026-27 Expectations
Area / Sector
Budget 2026 Expectations (As per reports & experts)
Income Tax (Middle Class)
The standard deduction is likely to increase to ₹1 lakh, there will be clarity on the basic exemption limit and tax slabs, and tax compliance will be made simpler.
Section 87A & Capital Gains
Clear guidelines on the applicability of Section 87A rebate on capital gains.
Healthcare & Insurance
Relief from rising hospital costs and health insurance premiums, updating Section 80D limits.
Senior Citizens & Long-Term Care
Increased interest income exemption, policy support for assisted living and home-care expenses.
Real Estate & Housing
Focus on stability, liquidity and sustainable growth, home loan tax benefits for affordable housing policy continuity
Consumer Spending & Rewards
15–20% growth in discretionary spending (electronics, apparel, auto) after Budget, smarter loyalty & rewards ecosystem
Sustainable funding model, security & infrastructure investment for payment ecosystem
Indexation & LTCG Relief
Reconsideration of indexation benefits for real estate, gold, and debt funds.
International Credit Card & LRS
Bringing international card spends into LRS framework
Microfinance Sector
Stronger KYC norms and borrower protection
EVs & Green Energy
Clarity on tax rules of EV & hybrid vehicles, battery & storage incentives
Education & Skills
Upskilling programs par GST reduction, AI/ML apprenticeships
Defence & Aerospace
Increase in defense capital expenditure, support to drones & space sector
Digital Economy & Startups
Plea for electronics and infrastructure, and expansion of DPI (Digital Public Infrastructure)
Markets Overall
Instead of big-bang reforms, focus on stability, clarity, and continuity.
1. Income Tax Expectations: Focus on Middle-Class Relief
Standard Deduction: The focus is on increasing the standard deduction for salaried taxpayers to ₹1 lakh.
Basic Exemption Limit: There is talk of aligning the tax-free income limit in the new tax regime to around ₹5-6 lakh.
Section 80D (Health Insurance): Experts are emphasizing the need to allow health insurance deductions in the new regime as well.
LTCG Exemption: The agenda includes revising the LTCG exemption limit for small investors to above ₹1.25 lakh.
Section 87A on Capital Gains: The industry has pointed out the need to clarify the treatment of rebates on capital gains.
30% Tax Slab Entry Point: A proposal to shift the threshold for the top tax slab upwards is being discussed for professionals and entrepreneurs.
Surcharge Rationalization: Rationalizing the surcharge cap to control the high effective tax rate remains a key topic.
2. Old vs New Tax Regime: Policy Clarity Needed
Coexistence of Both Regimes: The Budget 2026 will clarify whether the Old Tax Regime will continue or if the New Tax Regime will become the primary system.
Limited Deductions in New Regime: There is discussion about including some essential deductions in the New Tax Regime, such as:
HRA (House Rent Allowance)
Home loan interest
Health insurance (Section 80D)
NPS contribution
Senior Citizens Relief: There may be a focus on introducing separate slabs or targeted rebates for senior citizens, especially considering pension and capital gains income.
Taxpayer Shift Trend: Now, over 72% of taxpayers have opted for the New Tax Regime, which means the government is focusing more on stability and clarity rather than frequent changes.
3. Healthcare & Insurance Expectations
Medical inflation has reached approximately 11-14%, so the focus in Budget 2026 is expected to be on controlling healthcare costs.
There is discussion about increasing the health insurance deduction limits under Section 80D to reflect current premium levels and including it in the New Tax Regime.
The need for clear guidelines on hospital room rent and treatment charges is being emphasized to reduce out-of-pocket expenses for patients.
The policy focus is shifting from simply making insurance cheaper to ensuring adequate coverage so that major illnesses are fully covered.
Strengthening group health insurance plans offered by employers through tax incentives is also being considered.
There is a strong push to recognize assisted living and home-care services for senior citizens as healthcare expenses and to create a separate support framework for them.
4. Senior Citizens & Retirement Planning
Interest Income Relief: There are reports that the exemption limit on interest income from bank FDs and savings accounts for senior citizens may be increased from ₹50,000 to ₹1,00,000 to help alleviate the pressure of inflation.
Tax Slabs for Seniors: Discussions are underway regarding separate tax slabs or special rebates for senior citizens to ensure a balanced tax burden on their pensions and fixed incomes.
NPS Support: The need to strengthen the tax benefits available on NPS contributions under the New Tax Regime is being highlighted to encourage better savings for retirement.
Long-Term Care & Assisted Living: Emphasis is being placed on providing policy support for assisted living and long-term care insurance, as medical and care expenses are increasing rapidly with age.
Caregiving Recognition: The need to establish home-care and caregiving services as a structured and recognized profession is being emphasized to ensure reliable care for senior citizens.
5. Real Estate & Housing Finance
Affordable Housing Limit: Discussions are underway to increase the affordable housing limit in metro cities from ₹45 lakh to ₹65 lakh.
Home Loan Tax Benefit: There is a focus on increasing the limit for tax deductions on home loan interest to reduce the burden of EMIs.
REIT & Small Investors: Including REITs under Section 80C could provide small investors with an easier way to invest in real estate.
Green Buildings: The need for incentives to promote energy-efficient and eco-friendly construction is being highlighted.
Easy Home Loans: The focus is on making loan access easier for first-time buyers and those in smaller cities, making homeownership more practical.
6. Infrastructure & Capital Expenditure
Capital Spending: This time, capital expenditure on infrastructure is expected to exceed ₹12 lakh crore.
Roads & Highways: There is discussion about allocating approximately ₹2.9 lakh crore for road and highway projects.
Railways: The railways could receive around ₹3 lakh crore, which would include funding for safety systems (Kavach), Vande Bharat, and Amrit Bharat trains.
Metro & Rapid Rail: The focus is now on expanding Metro and Namo Bharat projects to Tier-2 and Tier-3 cities.
Ports: New funding is being considered for major ports like Vadhavan and port-linked industrial areas.
7. MSMEs & Small Business Support
CGTMSE Credit Guarantee Expansion: The focus is on expanding the CGTMSE credit guarantee cover to ensure that small businesses can access loans more easily.
Quarterly GST Filing: Simplifying the quarterly GST return system for micro-enterprises has been proposed to reduce the compliance burden.
AI-based Customs Clearance (Up to ₹10 Lakh): The focus is on implementing an AI-based fast customs clearance system for import-export shipments up to ₹10 lakh to save both time and costs.
45-Day Payment Rule Enforcement: The need to strictly enforce the 45-day payment rule is being emphasized to ensure timely payments to MSMEs by large buyers.
Simplified Labour Compliance: The emphasis is on making labour laws and inspections simpler and more predictable so that small businesses can operate without fear.
8. Manufacturing & Make in India 2.0
Milestone-based Incentives: Instead of providing blanket subsidies to manufacturing companies, the focus is on a policy of offering incentives upon the achievement of production and performance milestones.
AI & Digital Manufacturing Support: There are proposals to provide tax benefits and subsidies for the adoption of AI, automation, and digital tools in factories.
MSME Competitiveness Platform: The focus is on launching a national scoring platform to measure the productivity and technological readiness of MSMEs, enabling targeted support.
Supply Chain & Logistics Efficiency: Attention is being given to improving logistics and supply chain efficiency to make raw material supply, transport, and delivery systems faster and more cost-effective.
9. Agriculture & Rural Development
NICRA Scheme Expansion: The focus is on expanding the NICRA scheme across the country, aiming to protect approximately 50,000 villages from crop losses caused by climate change.
AgriStack Digital System: AgriStack aims to provide farmers with easier access to loans and crop insurance by integrating land records and crop data.
Climate-Resilient Seeds: There are discussions about providing incentives for the adoption of high-yield and climate-resistant seeds.
Crop Insurance Reforms: The emphasis is on expediting claim settlements by linking crop insurance with digital records.
Food Security: Steps can be taken to strengthen long-term food security through a new Seeds Bill and modern technologies.
10. Education & Skill Development
GST Relief on Upskilling: There is a push to reduce the GST on upskilling and reskilling courses from 18% to 5%, making learning more affordable for working professionals and youth.
AI/ML Apprenticeships: The introduction of AI and ML-related apprenticeship programs in regional languages has been proposed to benefit young people from rural and non-English speaking backgrounds.
Digital Universities & Online Degrees: The focus is on mainstreaming digital universities and online degree programs to make higher education more accessible.
Quality-Based Funding: Education funding is being linked to quality, outcomes, and infrastructure rather than solely to enrollment numbers.
11. Defence, Space & Aerospace
Defence Spending: Defence sector capital spending is set to increase by approximately 20% to boost domestic manufacturing and investment in new equipment.
Space Sector Support: The space sector may be granted critical infrastructure status, enabling private companies to access cheaper and long-term funding.
Drones & R&D: Discussions are underway for a separate PLI (Production Linked Incentive) scheme for the drone industry and strengthening R&D funding to develop local technology.
Aircraft MRO: Tax benefits may be offered to encourage increased investment in aircraft maintenance (MRO), aiming to establish India as a regional MRO hub.
12. Green Energy & Electric Vehicles
GST Reduction on Battery Energy Storage Systems (BESS) : There is a push to reduce the GST on Battery Energy Storage Systems from 18% to 5% to make it easier and cheaper to integrate renewable energy into the grid.
Battery Recycling Incentives: Separate incentives and policy support are being considered to promote the recycling infrastructure for EV batteries, thereby reducing dependence on raw materials.
Focus on Eliminating Inverted Duty Structure: The need to eliminate the inverted duty structure is being emphasized to address the problem of higher GST on inputs and lower GST on outputs for EV manufacturers.
Changes to PLI Scheme for MSMEs: To make PLI schemes more practical for MSMEs, work may be done on lower investment limits and targeted benefits.
Clarity in EV Tax Rules: There is a need for clear rules regarding the tax treatment of electric and hybrid vehicles to avoid confusion for both companies and buyers.
13. Digital Economy & Technology
There are discussions about a ₹10,000 crore PLI (Production Linked Incentive) scheme to boost electronics manufacturing.
Plans are underway to integrate digital services with healthcare and government services to expedite processes.
The need to simplify tax rules on ESOPs (Employee Stock Ownership Plans) for startups is being highlighted.
With the increase in online payments, greater emphasis will be placed on data security.
Work may be done to simplify and standardize the KYC (Know Your Customer) process.
14. Markets, Investors & Capital Gains Policy
There’s talk of increasing the LTCG (Long-Term Capital Gains) exemption limit.
The need for simplifying and standardizing capital gains rules is being emphasized.
The indexation benefit for real estate and gold may be reconsidered.
Discussions are underway regarding balancing the Securities Transaction Tax (STT).
There’s a demand for clear guidelines on cryptocurrency tax rules.
Conclusion
The expectations surrounding the Union Budget 2026 indicate that people want clear and practical changes in decisions related to taxes, investments, and everyday expenses. The focus will now be on how well the budget strikes a balance between the needs of the common man and the market, and how it shapes the economic direction for the coming year.
This Union Budget Day, trade intraday with zero brokerage on Pocketful – featuring advanced charts & fundamentals for new-age traders and investors.
Frequently Asked Questions (FAQs)
When will the Union Budget 2026 be presented?
The Union Budget 2026 will be presented on February 1, 2026 (Sunday) at 11:00 AM.
Will the NSE and BSE be open on Budget day 2026?
Yes, since the Budget is on a Sunday, the NSE and BSE will remain open throughout the day (9:15 AM to 3:30 PM).
What are taxpayers expecting from Budget 2026?
Taxpayers are expecting changes in standard deduction, health insurance relief, and capital gains rules.
Which sectors may get priority in Budget 2026?
Infrastructure, healthcare, real estate, MSMEs, green energy, and the digital economy are likely to receive special attention.
Is Budget 2026 likely to help senior citizens?
Senior citizens are likely to receive relief on interest income and increased healthcare support.
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