The government is looking to change the British-era legacy of presenting the Union Budget on the last day of February. The date may be advanced by a month. This is to mention that until 1999 the Budget was presented at 5 pm in keeping with the British tradition.
The government is looking to change the British-era legacy of presenting the Union Budget on the last day of February. The session date may advance the date by a month so that policy transmission is faster and departments will able to spend the funds from the start of the year.
While a final decision is yet to be taken, sources said the government is considering completing the budget exercise before the end of the financial year on March 31. That will start up the releasing of funds in early months and unlike waiting until May for money to be actually allocated.
“We have not decided the date but it may be at the end of January. We have to keep in mind the preparations for Republic Day too,” said a source, according to the report published in Times of India.
Currently, the budget process, including passage of the Appropriations Bill for expenditure, Finance Bill for tax changes etc are cleared by the Parliament in the first week of May. Now government seeks parliamentary approval for undertaking funds spending during the few weeks of new financial year.
The move comes at a time when the Centre has decided upon introducing a slew of changes in economic policy from next financial year. Apart from other heavy duty changes, the budget exercise would be change too.