The Union Budget 2026-27 has signalled a decisive shift in India’s sports policy from funding events and athlete support to building a full sports ecosystem over the next decade, with a sharp focus on infrastructure, talent development and sports goods manufacturing.
Presenting the budget, Union Finance Minister Nirmala Sitharaman announced the launch of a new long-term roadmap under the Khelo India Mission, while also unveiling a dedicated initiative to position India as a global manufacturing hub for sports equipment.
“Taking forward the systematic nurturing of sports talent which is set in motion through the Khelo India programme, I propose to launch a Khelo India Mission to transform the sports sector over the next decade,” Sitharaman said.
Khelo India Mission: From scheme to decade-long mission
The biggest change in Budget 2026-27 is the government’s move to upgrade Khelo India from a programme to a mission-mode national project aimed at transforming India’s sports landscape over the next 10 years.
The mission is expected to focus on a more structured athlete pipeline from grassroots to elite levels while also strengthening the support ecosystem through coaching, sports science and performance tracking.
The budget comes at a time when India is warming up for a potential bid to host major global events, with the 2030 Commonwealth Games and a longer-term Olympic ambition already in the conversation.
India eyes global sports goods hub
In another major announcement, Sitharaman pitched a plan to boost sports goods manufacturing, a move that could directly benefit India’s existing hubs such as Meerut and Jalandhar while also making equipment more accessible domestically.
“I propose a dedicated initiative for high-quality sports goods manufacturing, research and innovation in equipment design as well as material sciences,” Sitharaman said.
She added that India has the potential to emerge as a “global hub for high-quality, affordable sports goods.”
This initiative is expected to encourage innovation in design and material sciences, improving product competitiveness while also expanding export opportunities, an important step as India seeks to strengthen its sports economy beyond medals.
Sports budget allocations show upward trend
The budget announcements align with the recent upward trend in sports allocations, reflecting a growing emphasis on sports development as both a performance and employment sector.
A comparative look at key allocations shows:
Khelo India Programme increased from ₹800 crore (FY 2024-25 revised) to ₹1,000 crore
Sports Authority of India (SAI) rose from ₹815 crore to ₹830 crore
National Sports Federations (NSFs) increased from ₹340 crore to ₹400 crore
National Dope Testing Laboratory rose from ₹18.70 crore to ₹23 crore
Athlete incentives saw a decline from ₹42.65 crore to ₹37 crore
Over the last decade, the sports ministry’s budget has expanded sharply, rising around 131%, from ₹1,643 crore in 2014-15 to ₹3,794 crore in 2025-26, as per officials.
The bigger shift: infrastructure + private participation
What stands out in Budget 2026-27 is the government’s move toward a multi-year capital plan for sports infrastructure, with increasing emphasis on private sector participation and institutional reforms.
A senior official underlined the need for a long-term spending framework to match India’s ambitions.
“The idea is to create a large corpus fund to be spent over five to seven years to build world-class sports infrastructure, with higher spending, private sector participation and institutional reforms at the core, if India is to aim to host events such as the Olympics,” the official said.
Officials have also acknowledged that hosting global multi-sport events will require a step change not just in spending, but also in execution capacity.
Sports as jobs and skilling
Sitharaman also highlighted the sports sector’s potential beyond competitions positioning it as a driver of employment, skilling and job creation.
The Finance Minister said the sports sector provides “multiple means of employment, skilling and job opportunities”, underlining the government’s intent to develop sports as an economic ecosystem including training, coaching, equipment manufacturing and support services.
Also Read: Budget 2026–27: What changes for accident compensation, foreign travel and education costs