‘Budget move to accelerate urbanisation’: Swiggy MD

Budget 2026 Sparks Urban Expansion Hopes

India's Union Budget 2026 has ignited optimism among business leaders, with Swiggy's Managing Director and Group CEO Sriharsha Majety calling it a game-changer for urbanisation. The announcement of City Economic Regions stands out as a bold step to extend formal economic activity beyond major metros into Tier-II and Tier-III cities. This move is expected to create jobs, stimulate local economies, and fuel incremental GDP growth over the medium term. Majety highlighted how such expansions would turn platforms like food delivery and quick commerce into essential urban infrastructure, much like roads or public transport in growing cities.

Targeted investments in hospitality skilling, pilgrimage towns, and integrated tourism circuits are also poised to lift travel demand significantly. These initiatives could generate service-led employment on a large scale, benefiting a wide range of workers from hotel staff to delivery personnel. As urban areas densify, everyday services become indispensable, supporting Swiggy's vision of powering daily commerce. Combined with recent GST reductions and income tax relief, these measures provide a much-needed demand-side stimulus, boosting consumption across various income groups and laying the groundwork for sustained economic momentum.

Swiggy Sees Opportunities Amid Platform Economy Boom

Swiggy's leadership views the budget as a reinforcement of confidence in urban growth and India's burgeoning platform economy. The company's Food Marketplace CEO, Rohit Kapoor, emphasised the role of platforms in creating high employment multipliers—one platform job reportedly generates 2.7 additional jobs in the wider economy. Last year alone, Swiggy's delivery partners earned over ₹5,500 crore, underscoring the sector's contribution to sustainable livelihoods. New Labour Codes recognising platform workers, along with health coverage for over one crore gig workers under PM Ayushman Bharat, mark platform work as a vital third pillar of employment alongside traditional jobs.

This Budget makes strong strides towards strengthening India’s consumption engine and building a Viksit Bharat by 2047. The Budget’s focus on urbanisation, productivity, skilling, and easier access to credit for small businesses reinforces confidence across the services and MSME ecosystem that underpins everyday consumption.

The budget's ₹10,000 crore SME Growth Fund and initiatives for women entrepreneurs further empower Swiggy's restaurant partners, cloud kitchens, and small food businesses. This support is crucial as the company navigates robust top-line growth amid rising operational costs. With a valuation around $12.7 billion, Swiggy faces pressure to balance expansion with profitability, especially in a competitive landscape where rivals like Zomato are also adapting. Yet, the focus on infrastructure, including rail corridors and high-speed connectivity, promises to enhance logistics and real estate in smaller cities, indirectly aiding delivery networks.

Broader Impacts on Economy and Gig Workers

Beyond Swiggy, the budget's massive capital expenditure of ₹12.2 lakh crore signals continuity in infrastructure-led development, with outlays for roads, ports, energy, and even mega textile parks. Revival of over 2,000 industry clusters and champion MSMEs aim to bolster local manufacturing and retail, creating tailwinds for urban and semi-urban demand. The emphasis on Tier-II and Tier-III cities, temple towns, and tourism infrastructure is set to unlock new markets for consumer-facing sectors. However, the gig economy faces some scrutiny, with recent Economic Surveys raising concerns over worker welfare amid rapid growth from 7.7 million to 1.2 crore workers.

For Swiggy, this presents a mixed outlook—strong MSME backing strengthens its ecosystem, but heightened focus on gig worker protections could influence operational models. Overall, the budget aligns with a people-first, consumption-led growth strategy, enhancing disposable incomes and formalising employment. Industry watchers anticipate these steps will accelerate India's journey towards a developed nation by 2047, with platforms playing a pivotal role in inclusive progress.

In summary, Union Budget 2026's City Economic Regions, MSME support, and urban focus promise accelerated growth, job creation, and stronger consumption, as endorsed by Swiggy's top executives, positioning platforms at the heart of India's economic transformation.