Industry leaders across India's education technology sector are presenting comprehensive expectations for Budget 2026, positioning education and skilling as fundamental drivers for achieving the nation's Viksit Bharat 2047 vision. The collective voice from edtech executives emphasizes treating education as economic infrastructure rather than social expenditure, with calls for substantial policy and financial support.

Digital Infrastructure and Accessibility Focus

Education leaders are prioritizing digital learning infrastructure as a cornerstone for Budget 2026. Dr. Sanjay Salunkhe, Founder of Jaro Education, expects focused support for digital and online education to expand access to credible higher and executive education for working professionals across regions and cities. Anant Bengani, Cofounder and Director of Zell Education, advocates for targeted investments in digital learning infrastructure, inclusive broadband access, and next-generation edtech platforms to ensure quality education reaches learners in both metros and rural districts.

Key infrastructure demands include:

• Enhanced broadband connectivity in underserved areas
• Expansion of digital platforms like DIKSHA and SWAYAM
• Investment in virtual learning environments and AI-enabled assessment tools
• Regional content creation support

Financial Support and Tax Reforms

Industry executives are seeking comprehensive financial reforms to make education more accessible and affordable. Dr. Kamal Chhabra, Founder & CEO of KC GLobEd, asserts the importance of stronger support for personal finance in education and skilling sectors, including tax benefits on professional courses, reduced GST on edtech services, simplified access to education loans, and increased public spending on digital learning infrastructure.

Ayush Kumar, MD of New Delhi Institute of Management, emphasizes making quality higher education more accessible through enhanced education loans, interest subsidies, and tax benefits for students and parents.

AI and Emerging Technology Integration

The global EdTech AI solutions space is expected to reach $80 billion by 2030, according to Ashutosh Upadhyay, Founder of Cognio Labs. Industry leaders are calling for budget allocations focused on AI-enabled student assessment tools, virtual learning environments, and automated content generation systems. Shantanu Rooj, Founder and CEO of TeamLease Edtech, proposes mandating 1% allocation of corporate profits toward workforce upskilling and creating a dedicated national reskilling pool to address AI-led job market disruptions.

Outcome-Based Skilling and Industry Alignment

Leaders emphasize the critical need for outcome-based accountability in education funding. Prateek Shukla, Co-Founder and CEO of Masai, expects Budget 2026 to fund three key aspects: co-investment and tax incentives for industry-academia partnerships, outcome-based accountability where government funding flows to institutions based on results and placement rates rather than enrollment numbers, and funding for platforms that make quality outcome-driven skilling accessible across India.

Suresh Kalpathi, CEO of Veranda Learning Solutions, advocates for treating education and skilling as economic infrastructure, with greater emphasis on employability in emerging fields like AI, data, finance, and green jobs.

Institutional Capacity and Faculty Development

Pravesh Dudani, Founder and Chancellor of Medhavi Skills University, emphasizes that education and skilling must be backed by targeted financial allocations that convert intent into impact. Key areas requiring sustained investment include capacity building of teachers and faculty through continuous upskilling, expanding digital infrastructure, enhancing broadband connectivity, and promoting inclusive EdTech adoption.

Siddharth Banerjee, CEO of Univo Education, believes investment should focus on building skilled talent, accelerating digital transformation, and strengthening institutional capacity to leverage India's large youth dividend. He advocates for a forward-looking budget that embeds AI across the education ecosystem to develop globally competitive institutions and future-ready talent.

A detailed economic analysis emphasizes the strategic importance of maintaining public capital expenditure focus in India's upcoming Budget 2026-27, highlighting infrastructure investment's proven multiplier effects and structural economic benefits.

Infrastructure Investment Delivers Strong Multiplier Effects

The analysis reveals that infrastructure spending generates significantly higher economic returns compared to consumption expenditure. While consumption spending typically delivers one-time benefits, infrastructure investment creates sustained economic impact through job creation, cost reduction, and productivity enhancement.

This multiplier effect stems from infrastructure's dual impact: immediate demand creation across multiple sectors during construction, followed by ongoing productivity improvements from completed assets.

Capital Expenditure Growth Shows Substantial Expansion

Central government capital expenditure has demonstrated remarkable growth trajectory, reflecting the administration's commitment to infrastructure-led development.

The substantial increase in capital allocation demonstrates the government's strategic positioning of infrastructure investment as the primary instrument for achieving ambitious economic targets.

Logistics Efficiency Improvements Exceed Expectations

Recent research has revealed significant improvements in India's logistics performance, contradicting earlier pessimistic assessments. A comprehensive study commissioned by the Department for Promotion of Industry and Internal Trade and conducted by the National Council of Applied Economic Research has provided updated logistics cost data.

These improvements reflect tangible benefits from sustained investment in highways, rail freight corridors, port modernization, and multimodal logistics infrastructure. The enhanced efficiency directly supports manufacturing and export competitiveness through reduced operational costs.

Private Investment Catalyzed by Public Infrastructure

Public infrastructure investment has demonstrated its effectiveness in stimulating private capital formation rather than crowding it out. Improved connectivity and reduced project risks have enhanced returns across multiple sectors:

• Manufacturing facilities benefit from better transport connectivity
• Logistics operations gain from improved rail and highway networks
• Renewable energy projects leverage enhanced power transmission infrastructure
• Data centers capitalize on improved digital backbone
• Urban services expand with better infrastructure foundation

This catalytic effect positions public capital expenditure as a strategic tool for anchoring long-term investment cycles and shaping positive market expectations.

Strategic Recommendations for Budget 2026-27

The analysis identifies three critical areas for optimizing infrastructure investment effectiveness in the upcoming budget:

High-Multiplier Focus Areas:

• Logistics infrastructure development
• Urban infrastructure expansion
• Power transmission networks
• Renewable energy integration
• Digital infrastructure backbone

Private Capital Integration:

• Enhanced public-private partnerships
• Strategic asset monetization programs
• Blended finance mechanisms

Execution Quality Improvements:

• Streamlined approval processes
• Milestone-linked funding mechanisms
• Enhanced monitoring systems
• Faster ground-level asset delivery

The expert analysis concludes that capital expenditure represents more than budgetary allocation—it constitutes a comprehensive economic strategy. As global growth faces uncertainty and domestic pressures mount, maintaining infrastructure investment focus provides stable economic anchoring while supporting long-term growth objectives. The approach signals policy continuity to markets and investors planning substantial capital commitments, reinforcing India's commitment to sustainable, inclusive economic development.