Indian Budget

The Indian Budget, also known as the Union Budget of India, is an annual financial statement presented by the Government of India in Parliament. It outlines the government's estimated revenue and expenditure for the upcoming fiscal year, which begins on April 1 and ends on March 31 of the following year.

The Union Budget is presented by the Finance Minister of India and is a significant policy statement that outlines the government's priorities for the upcoming year. It includes details on how the government plans to allocate its resources across various sectors, such as health, education, infrastructure, defense, and social welfare.

The budget is divided into two parts: the revenue budget and the capital budget. The revenue budget includes estimates of the government's revenue and expenses, while the capital budget includes the government's capital receipts and capital expenditure.

The budget is prepared by the Ministry of Finance in consultation with other ministries and government departments. It undergoes several stages of review and approval before it is presented in Parliament.

The Indian Budget is essential for the country's economic growth and development, and its implementation has far-reaching implications for individuals, businesses, and the overall economy. Understanding the Indian Budget is crucial for anyone interested in economics, finance, or public policy, including those preparing for the Indian Administrative Service (IAS) examination.

Types of Budget in India

In India, there are several types of budgets that are presented by the government to the Parliament. Here are the different types of budgets in India:

1. Annual Budget: The Annual Budget is the most important budget presented by the Government of India. It is a comprehensive document that presents the estimated revenue and expenditure for the upcoming fiscal year, which begins on April 1 and ends on March 31 of the following year.

2. Interim Budget: An Interim Budget is presented when a new government comes into power or during the last year of the current government's term. It is a partial budget that only includes estimates for the next few months until a full budget is presented by the new government.

3. Supplementary Budget: A Supplementary Budget is presented when the government needs to allocate additional funds to a particular sector or program. It is presented during the fiscal year and includes additional estimates of revenue and expenditure.

4. Vote-on-Account: A Vote-on-Account is a temporary budget presented when the government needs funds to run the country for a few months until a full budget is presented. It includes estimates for only essential expenditure items, such as salaries, pensions, and debt servicing.

5. Zero-based Budgeting: Zero-based Budgeting is a budgeting process where each department or program needs to justify the entire budget amount rather than incremental increases or decreases. It is a more detailed and time-consuming process but is designed to improve the efficiency of resource allocation.

Understanding the different types of budgets is essential for anyone interested in economics, finance, or public policy, including those preparing for the Indian Administrative Service (IAS) examination.