Budget 2026, Jan. 13 -- With the Union Budget 2026 around the corner, domestic brokerage ICICI Securities expects it to provide a positive surprise for lenders and industrial stocks amid expectations of higher capital expenditure, lower spending on non-development areas, increased divestment and no tax stimulus.

ICICI Securities analysts Vinod Kakri and Bhavesh Talreja said that after surprising last year on tax stimulus and GST cut later in the year, the Union Budget for FY27 is likely to limit spending and instead focus on developmental areas, like manufacturing and infrastructure.

Domestic manufacturing also remains a key focus area amid an increasingly inward-looking policy-making environment globally, accompanied by elevated geopol...