Mumbai, Jan. 29 -- According to the Economic Survey 2026, the government's prudent fiscal management has strengthened credibility and reinforced confidence in India's macroeconomic and fiscal framework. This led to three sovereign credit rating upgrades in 2025 - by Morningstar DBRS, S&P Global Ratings, and Rating and Investment Information (R&I), Inc.

Centre's revenue receipts strengthened from an average of about 8.5 per cent of GDP in FY16-FY20 to 9.2% of GDP in FY25 (PA). This improvement was driven by buoyant non-corporate tax collections, which rose from about 2.4 per cent of GDP pre-pandemic to around 3.3 per cent post-pandemic.

The direct tax base expanded steadily, with income tax returns filed increasing from 6.9 crore in FY22...