CURRENT AFFAIRS

Detailed explanation-1: -Notes: The Union Ministry of Finance has started ‘Know Your Budget’ fortnight series on its Twitter handle to educate general public about the budgetary process.

Detailed explanation-2: -For preparing the budget to be presented in Parliament, Department of Economic Affairs is responsible for preparation of Union Budget and not the Revenue Department.

Detailed explanation-3: -The budget has four stages viz., (1) estimates of expenditures and revenues, (2) first estimate of deficit, (3) narrowing of deficit and (4) presentation and approval of budget. The process begins with various ministries providing initial estimates of plan and non-plan expenditures.

Detailed explanation-4: -The Indian Union Budget is prepared by the Ministry of Finance in consultation with Niti Aayog and other concerned ministries. Also, the Budget division of the department of economic affairs (DEA) in the finance ministry is the nodal body responsible for producing the Budget.

Detailed explanation-5: -The budget-making process starts in August-September, that is, about six months prior to the presentation date. It involves stages that include the issuance of circulars to all ministries, Consultations on proposals received, allocation of revenues, per-budget meetings.