As Union Finance Minister Nirmala Sitharaman will be presenting the Interim Budget for the fiscal year 2024-25 on February 1, we take a look at 10 interesting facts about the Union Budget here.
Union Budget, which is presented on February 1 by Finance Minister in the Lok Sabha, used to be presented on the last working day of February until 2016.
Until 1999, the Union Budget used to be announced at 5:00 pm which was said to be a colonial tradition. Then finance minister Yashwant Sinha starting 2001 changed the timing to 11 am.
A week before presenting the Budget, a 'Halwa ceremony' takes place where the finance minister distributes 'Halwa' among ministry officials and staff.
The Halwa ceremony signifies the start of 'lock-in' period. With the shift to digital methods in the Budget system, the lock-in period has been shortened to just five days from two weeks.
Until 2018, finance ministers followed the tradition, started by R K Shanmukham Chetty, of carrying the Budget in a leather briefcase. However, it has been discontinued now.
On February 1, 2021, Finance Minister Nirmala Sitharaman introduced the first paperless Budget using a digital tablet.
The Union Budget has two parts: the Annual Financial Statement and the Demand for Grants. The Annual Financial Statement provides a summary of the government's revenue for the upcoming year. Demand for Grants includes an estimated expenditure from the Consolidated Fund that needs to be submitted.
The finance minister presents the Union Budget in a speech, followed by discussions and voting in the Lok Sabha. Additionally, there's a 'mid-year review,' a 'half-yearly report' updating on the government's financial performance.
The finance minister meets the President at Rashtrapati Bhavan to seek approval before presenting the Union Budget in Parliament. This custom has been followed from many years.
After the Budget speech, the finance minister, along with Ministers of State for Finance, Finance Secretary, and other Ministry of Finance Secretaries, holds a post-Budget press conference. They talk about the budget announcements there.