What is budget? How is it manufactured? Finance Minister consults the Prime Minister on the budget
The general budget of the country will be presented on February 1. This budget will be for the financial year 2023-24. Whenever the time of budget comes, the question arises in the mind of many people that what is budget and what is the process of its preparation? Through this article, we are trying to tell you in very simple words what is the budget and how it is prepared.
What is budget?
Budget means the details of income and expenditure. What is to be spent in the financial year 2023-24 and from where the country’s income will come, its complete information will be given in the budget. There is a provision for this in the budget of a country. If we make any small plan in our house too, then its budget is prepared. For which item the money will be spent, from where the money will come, these things are taken full care of. Similarly, the budget of a country is also prepared.
How is the budget prepared
The process of budget preparation is very secretive. The people who are mainly involved in this process are from the Planning Commission, the Comptroller and Auditor General, the Administrative Ministry and the Ministry of Finance. It is very important for you to know that the process of making the budget which is being presented in the month of February starts from the month of August-September. The Department of Economic Affairs, Ministry of Finance, has a Budget Division, which issues circulars to all Ministries, State and Union Territories, Autonomous Bodies and Defense Forces. In which they are asked to estimate their expenses in the coming financial year and tell them the necessary funds. Then there is a discussion on that estimated expenditure. After that the Budget Division prepares the provision of the budget by consulting and discussing with experts from different fields like Revenue Department, Industry Associations, Chambers of Commerce, Farmers Associations, Trade Unions, Economists.
Finance Minister consults the Prime Minister on the budget
After the budget is prepared, the Finance Minister examines it. Along with this, the Finance Minister also makes necessary amendments in the budget. The Finance Minister takes the advice of the Prime Minister on the prepared budget and if necessary, amendments are also made in the budget. The Finance Minister also takes advice from the Union Cabinet. After necessary amendments, the final form of the budget is prepared and it is sent to the President for approval. After the approval of the President, the budget is presented in the Lok Sabha.
What is the purpose of budget
There is a public welfare government in India, whose objective is the development of the people of the country. For this, the government intervenes in the economy in various ways. For this, the government releases funds for different schemes while increasing the means of income. Along with this, the government also makes plans to strengthen the economy. In order to provide a better standard of living to the citizens, the government works to provide better health facilities to them. Along with this, to improve the economic condition of the citizens, it also makes plans to reduce poverty and unemployment. Strengthening the infrastructure in the country is also one of the main tasks of the government and for this, the government makes provision in the budget.
