As the Union Budget 2026 approaches, banks and NBFCs are expecting policy measures aimed at improving credit flow, easing tax burdens, and simplifying compliance norms. The financial sector is actively engaging with policymakers to ensure that the budget supports both growth and financial inclusion.
Key Demands from the Industry
- Refinancing Window for NBFCs
- NBFCs are seeking government support to ease liquidity pressures and refinance high-cost borrowings.
- A structured refinancing mechanism could reduce funding costs and improve credit availability.
- Tax Rationalisation
- The industry expects measures to simplify taxation, reduce compliance burdens, and promote retail lending growth.
- Incentives for lending and investment could help expand credit penetration.
- Incentives to Deepen Retail Participation
- Policy support to encourage retail lending and savings products is high on the agenda.
- Greater retail participation could diversify funding sources and strengthen financial stability.
Implications for Banks and NBFCs
- Budget measures could enhance liquidity for NBFCs and banks, supporting lending to priority sectors.
- Tax rationalisation may improve profitability and operational efficiency.
- Retail incentives are likely to boost loan book growth and deepen financial inclusion.
Key Highlights
- Banks & NBFCs seek relief in Budget 2026 on credit flow, taxes, and compliance
- Industry requests refinancing window for NBFCs
- Tax rationalisation and retail participation incentives are top priorities
- Measures aimed at boosting credit availability and sector growth
⚠️ Disclaimer: This article is for informational purposes only and does not constitute investment advice. Budget proposals may change upon official notification.
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