The last full Budget of the second term of the Narendra Modi-led government will be presented in Parliament on Wednesday, February 1. The Budget session of the Parliament will take place over 27 sittings, with two parts – the first from January 31 to February 14 and the second from March 12 to April 6.
Finance Minister Nirmala Sitharaman will present the final full-fledged Union Budget of the Modi government before the 2024 Lok Sabha elections on Wednesday. President Draupadi Murmu will deliver her maiden speech to the joint session of both Houses of Parliament, focusing on the government’s accomplishments and key priorities.
OPPOSITION DEMANDS AHEAD OF BUDGET 2023
The Opposition is likely to challenge the government on issues such as the Adani-Hindenburg controversy. At an all-party meeting on Monday, Opposition parties raised the Adani issue and the conduct of Governors in states ruled by them.
As many as 37 leaders from 27 parties participated in the all-party meeting.
TMC leader Sudip Bandyopadhyay has called for space for opposition parties in Parliament and the YSR Congress demanded a nationwide caste-based economic census. YSR Congress leader Vijaysai Reddy said that over 50% of backward castes are lagging in social and development indicators and the census will help determine their economic status.
The government also faced demands for passage of the women quota bill YSRC, TRS, TMC, and the BJD. Earlier, Tamil Nadu Chief Minister MK Stalin urged his MPs to place strong arguments over the BBC documentary on PM Narendra Modi and the Adani-Hindenburg issue.
Parliamentary Affairs Minister Pralhad Joshi said that the government is willing to discuss all allowed topics, but under the rules and with the Chair’s permission.
POPULISM VS FISCAL PRUDENCE
This will be a challenging Budget as expectations would be high due to rising inflation and global economic uncertainty.
With nine assembly polls this year and the General Election next year, Finance Minister Nirmala Sitharaman will have to strike a fine balance between populism and fiscal prudence. Many feel that the Modi Cabinet will steer clear of populist schemes as it has shown its opposition to the ‘revadi (freebie) culture’.
An analysis of the last five pre-poll Budgets in India shows that the government has tried to strike a balance between fiscal prudence and populism. The pre-poll Budgets are often seen as a tool for the ruling party to gain electoral support.
1. The 2018 Budget, presented by then-Finance Minister Arun Jaitley focused on rural and agricultural development, healthcare, and infrastructure. The government announced the launch of the world’s largest health insurance scheme, Ayushman Bharat, and increased allocation for the rural job scheme, MNREGA.
2. The 2014 Budget, presented by P Chidambaram, focused on reviving the economy and boosting growth. The Budget proposed measures to attract foreign investment, increase exports, and create jobs. The government also increased spending on infrastructure and social sector schemes.
3. The 2009 Budget, presented by Pranab Mukherjee, was announced in the aftermath of the 2007-08 global financial crisis. The Budget focused on boosting economic growth and supporting the poor and the vulnerable. The government announced measures to increase spending on infrastructure and social sector schemes, and reduced taxes for the middle class.
4. The 2004 Budget, presented by Jaswant Singh, focused on economic reforms and boosting growth. The government announced measures to simplify taxes, reduce fiscal deficit, and increase foreign investment.
5. The 1999 Budget, presented by Yashwant Sinha, was announced ahead of the general elections. The budget focused on populist measures such as the rural employment guarantee scheme and increased spending on agriculture and rural development.
The last five pre-poll Budgets in India show that the government has tried to strike a balance between fiscal prudence and populism. The Budgets have focused on boosting economic growth, creating jobs, and supporting the poor and the vulnerable. These Budgets also proposed measures to increase foreign investment and simplify taxes.