With Finance Minister Nirmala Sitharaman set to present the Budget on February 1, industry stakeholders are closely watching policy measures that could shape the future of India’s manufacturing and infrastructure sectors. It suggested that the benefit be available to companies opting for the concessional corporate tax regime. The new Bill could include a provision that, for a defined period, companies investing in API/bulk drug manufacturing enjoy e.g., 150% deduction of such capital expenditure. Faster GST refunds, better access to working capital, and simplified compliance were also cited as critical for operational efficiency. The capital goods sector is expected to benefit mainly from high public capital expenditure, with government spending rising 28% YoY to Rs 6.6 trillion between April and November 2025.