Indian Infrastructure Equipment Rental Industry Leaders Welcome Union Budget 2026-27

New Delhi, 4 February 2026, TRT Staff: Rental Industry leaders have lauded the Union Budget 2026-27 for its strong focus on infrastructure and sustained capital expenditure of ₹12.2 lakh crore. Highlighting opportunities for growth, they said the budget reinforces India’s commitment to infrastructure-led development, clean energy transition, and enhanced mobility, while providing a major boost to the equipment rental sector.

Jitender Aggarwal, Chairman and Managing Director of AGGCON Equipments International, one of India’s leading and top ten infrastructure equipment rental companies, said, “The Union Budget 2026 reflects Prime Minister Narendra Modi’s continued and strong push for infrastructure-led growth. The increase in capital expenditure to ₹12.2 lakh crore for FY 2026–27 reinforces the government’s commitment to building world-class transport, logistics, urban infrastructure, and connectivity.

“This sustained public investment keeps infrastructure firmly at the centre of India’s growth strategy”, he added.

He also said, “The higher capex allocation will also provide a significant boost to the infrastructure equipment rental sector”.

At the same time, he pointed out areas where policy support could be strengthened further. Equipment rental contributes to reduced carbon emissions and more efficient asset utilization, aligning with broader sustainability goals.

He suggested, as the equipment rental helps reduce carbon emissions and promotes efficient asset utilization, there was an opportunity for the government to introduce incentives encouraging contractors and construction companies to rent rather than purchase equipment outright. Such measures could have further strengthened India’s sustainability agenda”.

This could have reinforced India’s sustainability agenda while supporting efficient capital deployment.

Overall, he described the Budget as progressive and forward-looking, aligned with the long-term vision of Viksit Bharat.

The infrastructure push is closely linked with India’s clean energy and mobility transition. Increased allocations for railways, renewable energy and nuclear power indicate an integrated approach to development, where physical assets support both economic and environmental goals. Railways, in particular, are being positioned as a driver of efficient and lower-emission transport, while energy investments aim to meet growing industrial and urban demand.

Rishi Sanghvi, Managing Director of Sanghvi Movers, one of the largest crane rental companies globally, said, “The Union Budget 2026-27 reinforces India’s long-term commitment to infrastructure-led growth, clean energy transition, and enhanced mobility”.

He added. “Focused investments across infrastructure, renewables, railways, and nuclear energy will not only accelerate economic momentum but also strengthen execution capabilities on the ground”.

“As industry stakeholders, this is a strong signal to innovate, scale responsibly, and contribute meaningfully to nation-building”, he added.

Budget Opens Window for Equipment Rental Growth

India’s Union Budget 2026-27 positions infrastructure as the engine of economic growth, creating major opportunities for the equipment rental industry. Large-scale projects across transport, urban infrastructure, ports, airports, and energy will require flexible and timely access to specialized machinery, offering significant growth potential.

Execution remains a key theme, with both Prime Minister Modi and Finance Minister Sitharaman stressing that timely completion and quality outcomes are as important as financial allocations. Improved project planning, monitoring, and coordination between central and state authorities will be essential to translate budgetary intent into tangible results.

Overall, the Union Budget 2026-27 underscores infrastructure as a strategic enabler of India’s economic ambitions. By maintaining high levels of capital expenditure and aligning development with clean energy and mobility goals, it provides a clear and stable framework for infrastructure-led growth while offering the equipment rental sector substantial opportunities in the years ahead.
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