Skip to main content

FinMin pitching for Jan 31 Budget

The final decision on the Budget date will be a political one and will be taken by the Cabinet Committee on Political Affairs

The finance ministry is said to be pitching for the Union Budget 2017-18 to be presented on January 31, an event which would give Parliament exactly three months to  approve the Finance Bill before April 1.

The final decision on the Budget date will be a political one and will be taken by the Cabinet Committee on Political Affairs (CCPA). Finance Minister Arun Jaitley had said last week that while the government was in favour of advancing the Budget to enable the passage of the Finance Bill before the start of the next financial year, a final call on the matter will be taken after studying the state election schedule.

Uttarakhand, Manipur, Goa, Punjab and Uttar Pradesh are slated to go to the polls early next calendar year.

The Budget planners and policymakers in North Block are pushing for a January 31 Budget. It will be a Tuesday, which also raises the likelihood of the 2016-17 Economic Survey being tabled in Parliament on Monday (January 30).

“We have pitched for the last day of January and will prepare the Budget, keeping that date in mind. It will give Parliament three months to pass the Finance Bill,” a senior official said.

Economic Affairs Secretary Shaktikanta Das had told Business Standard last week in an interview that the finance ministry would be prepared to present the Budget up to four weeks in advance. Incidentally, February 28, 2017, also a Tuesday, would be exactly four weeks from January 31.

The official said that the final decision by CCPA will be taken, based on political consensus with other parties but also conceded that there were larger logistical issues, given that reading the Budget on January 31 will entail starting the Budget session early.

The three-day Republic Day celebrations will end on January 29 with Beating the Retreat ceremony. If the Budget session starts on January 30, that would give the government just two days in which to fit in the President’s Address, Economic Survey and the Budget.

Apart from advancing the date, the 2017-18 Budget will also be the first one in which the Railway Budget and the Union Budget will be merged. There would be no Five-Year Plans after April 1, 2017, when the 12th Five-Year Plan comes to an end, justifying the need for doing away with Plan and non-Plan expenditure. There will only be revenue and capital expenditure classifications in the Budget. 

Business Standard, New Delhi, 28 September 2016

Comments

Popular posts from this blog

RBI deputy governor cautions fintech platform lenders on privacy concerns during loan recovery

  India's digital lending infrastructure has made the loan sanctioning system online. Yet, loan recovery still needs a “feet on the street” approach, Swaminathan J, deputy governor of the Reserve Bank of India, said at a media event on Tuesday, September 2, according to news agency ANI.According to the ANI report, the deputy governor flagged that fintech operators in the digital lending segment are giving out loans to customers with poor credit profiles and later using aggressive recovery tactics.“While loan sanctioning and disbursement have become increasingly digital, effective collection and recovery still require a 'feet on the street' and empathetic approach. Many fintech platforms operate on a business model that involves extending small-value loans to customers often with poor credit profiles,” Swaminathan J said.   Fintech platforms' business models The central bank deputy governor highlighted that many fintech platforms' business models involve providing sm

Credit card spending growth declines on RBI gaze, stress build-up

  Credit card spends have further slowed down to 16.6 per cent in the current financial year (FY25), following the Reserve Bank of India’s tightening of unsecured lending norms and rising delinquencies, and increased stress in the portfolio.Typically, during the festival season (September–December), credit card spends peak as several credit card-issuing banks offer discounts and cashbacks on e-commerce and other platforms. This is a reversal of trend in the past three financial years stretching to FY21 due to RBI’s restrictions.In the previous financial year (FY24), credit card spends rose by 27.8 per cent, but were low compared to FY23 which surged by 47.5 per cent. In FY22, the spending increased 54.1 per cent, according to data compiled by Macquarie Research.ICICI Bank recorded 4.4 per cent gross credit losses in its FY24 credit card portfolio as against 3.2 per cent year-on-year. SBI Cards’ credit losses in the segment stood at 7.4 per cent in FY24 and 6.2 per cent in FY23, the rep

India can't rely on wealthy to drive growth: Ex-RBI Dy Guv Viral Acharya

  India can’t rely on wealthy individuals to drive growth and expect the overall economy to improve, Viral Acharya, former deputy governor of the Reserve Bank of India (RBI) said on Monday.Acharya, who is the C V Starr Professor of Economics in the Department of Finance at New York University’s Stern School of Business (NYU-Stern), said after the Covid-19 pandemic, rural consumption and investments have weakened.We can’t be pumping our growth through the rich and expect that the economy as a whole will do better,” he said while speaking at an event organised by Elara Capital here.f there has to be a trickle-down, it should have actually happened by now,” Acharya said, adding that when the rich keep getting wealthier and wealthier, they have a savings problem.   “The bank account keeps getting bigger, hence they look for financial assets to invest in. India is closed, so our money can't go outside India that easily. So, it has to chase the limited financial assets in the country and