INSUBCONTINENT EXCLUSIVE:
The government is due to announce the full-year budget for 2019-20 on July 5
Finance Minister Nirmala Sitharaman, India's first full-time woman finance minister, will present the Budget in Lok Sabha, the lower house
The budget is an annual financial statement of a government, detailing its revenue and expenditure in the past, as well as estimated
spending and projections for the time to come
The upcoming budget follows an interim budget presented by the government in February 2019, the last ahead of the general elections
The July 5 Budget will be the first by the NDA government after returning to power in May
Besides the Budget speech, the budget documents are broadly divided into eight other parts.These are:Annual Financial Statement (AFS)Demands
for Grants (DG)Finance BillStatements mandated under FRBM Act:Macro-Economic Framework Statement ii.Medium-Term Fiscal Policy cum Fiscal
Policy Strategy StatementExpenditure BudgetReceipt BudgetExpenditure ProfileBudget at a GlanceHere's a brief description of the
information laid out in different budget documents:Budget speechThis is the speech delivered by the finance minister while tabling the
budget documents in Parliament
A copy of the speech is included in the budget documents, and uploaded on the official Union Budget website.Annual Financial Statement
(AFS)Also known as budget statement, this document contains details of estimated receipts and expenditure in the year gone by (revised
estimates) vis-a-vis the year to come (budget estimates), as well as those incurred in the year before the current financial year
(actuals).Demands for Grants (DG)A government is required to provide details of estimated expenditure in this form
Generally, one Demand for Grant is presented in respect of each ministry or department
However, more than one demand may be presented for a ministry or department depending on the nature of expenditure.Finance BillA government
submits its proposals - in terms of imposition, abolition, remission, alteration or regulation of taxes - to Parliament through this
document.Statements mandated under FRBM ActMacro-Economic Framework StatementIt contains an assessment of growth prospects of the economy,
in terms of GDP growth rate and fiscal balance
This document also contains components such as an assessment of the GDP growth rate, the domestic economy and the stability of the external
sector of the economy.Medium-Term Fiscal Policy cum Fiscal Policy Strategy StatementThis statement sets out the three-year rolling targets
for six specific fiscal indicators in relation to GDP at market prices: fiscal deficit, revenue deficit, primary deficit, tax revenue,
non-tax revenue and central government debt.This document explains how the current fiscal policies are in conformity with sound fiscal
management principles and gives the rationale for any major deviation in key fiscal measures.Expenditure BudgetThis document mentions the
estimates made for a scheme/programme that are brought together and shown on a net basis (in terms of revenue and capital)
It also contains explanatory notes detailing the objectives underlying the expenditure proposed for various schemes and programmes.Receipt
BudgetThe document provides details of tax and non-tax revenue receipts and capital receipts, and also explains the estimates.Budget at a
glanceThis is a summary of receipts and disbursements, along with a brief description of key terms
Besides broad details of tax as well as non-tax revenues and other receipts, and Plan and Non-Plan expenditure, it also indicates the
revenue deficit, the gross primary deficit and the gross fiscal deficit.Budget highlightsBesides, the set of documents also contains Budget
highlights, which explains the key features of Budget
It indicates the prominent achievements in various sectors of the economy and summarises the budget proposals for funds allocation in
important areas, among other features.
