Budgeting in India
Budgeting in India refers to the process of preparing, presenting, and executing the annual financial plan of the Government of India. The budget is a detailed statement of the government’s expected revenues and expenditures for the upcoming financial year, which runs from April 1st to March 31st of the following year.
The budget process in India starts with the preparation of the budget by the Ministry of Finance, with inputs from other government departments and agencies. The budget is then presented to the parliament by the finance minister, usually on the last day of February.
The budget consists of two main parts: the revenue budget and the capital budget. The revenue budget deals with the government’s expected revenues from taxes and other sources, and the expenditures on various schemes and programs. The capital budget deals with the government’s investments in infrastructure and other long-term assets.
The budget also includes the government’s macroeconomic projections for the upcoming year, such as GDP growth, inflation, and fiscal deficit.
The budget is then discussed and debated in the parliament and is voted on. After the budget is passed, the government begins to implement the various schemes and programs outlined in the budget, and the Ministry of Finance monitors the execution of the budget throughout the year.
Budgeting in India is an important process as it helps the government to plan its revenues and expenditures, and to allocate resources to various schemes and programs. It also helps to ensure fiscal responsibility and transparency in government finances, and is a crucial tool for economic planning and management.
