Mumbai, Feb 1: The BSE benchmark Sensex rallied nearly 1,000 points led by gains in financial stocks in afternoon session on Monday as Finance Minister Nirmala Sitharaman presented the Union Budget 2021-2022 in Parliament.

The 30-share Sensex was trading 929.54 points or 2.01 per cent higher at 47,215.31; and the broader Nifty surged 260.05 points or 1.91 per cent at 13,894.65. FDI in Insurance Increased from 49% to 74% to Invite Foreign Majors.

On the Sensex chart, IndusInd Bank was the top gainer, rallying over 10 per cent, followed by ICICI Bank, HDFC, Bajaj Finserv, M&M and SBI. On the other hand, Dr Reddy's, Tech Mahindra, TCS and HCL Tech were among the laggards.

To push growth via infrastructure creation, Sitharaman proposed raising the government's capital expenditure for FY 2021-22 by 34.5 per cent to Rs 5.5 lakh crore.

Sitharaman also said the government would infuse Rs 20,000 crore into public sector banks (PSBs) in 2021-22, to meet the regulatory norms. For the current financial year also, the government had made a provision of Rs 20,000 crore for recapitalisation.

At the time of filing this report, the Budget presentation was underway.

On the currency front, the rupee was trading 6 paise lower at 73.02 against the US dollar.