Mr. Ravi Narayanan, MD & CEO, SMFG India Credit

“The Union Budget 2026 presents a clear and constructive roadmap for strengthening India’s financial architecture, with a balanced emphasis on stability, inclusion, and long-term growth. The government’s decision to constitute a High-Level Committee on Banking for Viksit Bharat is a forward-looking step that recognises the evolving and complementary role of NBFCs in deepening credit penetration and supporting India’s development priorities.

For the NBFC sector, the Budget sends a strong signal of policy continuity and confidence. The focus on improving credit transmission, leveraging technology, and enhancing efficiency across the financial system will enable NBFCs to scale responsibly while continuing to serve underserved and emerging customer segments. The proposed SME Growth Fund is a timely and meaningful intervention, as it will provide patient capital to small and medium enterprises, fostering innovation, productivity, and sustainable job creation.

Equally encouraging is the intent to undertake a comprehensive review of the FEMA framework for non-debt investments. Simpler, more predictable regulations will improve ease of doing business and facilitate access to long-term global capital—an important enabler for NBFCs to support India’s investment-led growth.

Overall, Budget 2026 reinforces a clear vision for a resilient, well-regulated, and inclusive NBFC ecosystem—one that empowers individuals and enterprises with affordable, relevant financial solutions and plays a critical role in advancing India’s journey towards a Viksit Bharat.”