The Economic Survey will be tabled in the Lok Sabha at 1:00 p.m. and in the Rajya Sabha at 2:00 p.m. on July 22, 2024. This document, prepared by the Economic Division under the Ministry of Finance, provides a detailed analysis of the economic performance for the fiscal year 2023-24.
Chief Economic Adviser V. Anantha Nageswaran will address the media at 2:30 p.m. on July 22 to discuss the findings and implications of the Economic Survey. The press conference will offer insights into the economic indicators and projections for the upcoming fiscal year.
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Economic Survey Overview
The Economic Survey, prepared by the Economic Division of the Department of Economic Affairs under the Ministry of Finance, provides an in-depth look at the economic indicators for 2023-24. It also offers projections and guidance for the current fiscal year. Historically, the Survey gives a glimpse into the tone and direction of the Budget, which will be presented the following day.
The Economic Survey was first introduced in 1950-51 as part of the Budget documents. It was separated in the 1960s and is now presented a day before the Union Budget. The themes of recent Surveys have reflected India’s economic challenges and responses, such as the ‘Agile Approach’ during the COVID-19 pandemic in 2022 and the ‘Recovery Complete’ theme in 2023.
Major Interim Budget Announcements
On February 1, 2024, an interim budget was presented due to the general elections. This interim budget included an 11.1% increase in capital expenditure to Rs 11.11 lakh crore, aiming to boost long-term physical assets. The fiscal deficit for 2024-25 is pegged at 5.1% of GDP, with a goal to reduce it to below 4.5% by 2025-26.No Tax Burden Changes
The interim budget did not introduce new taxes or increase the existing tax burden on citizens, providing relief amid economic uncertainties. The focus remained on maintaining financial stability and addressing immediate financial needs until the formation of a new government post-elections.
Economic Projections
India’s economic outlook remains optimistic, with projections indicating it will become the world’s third-largest economy with a GDP of USD 5 trillion in the next three years. By 2030, India could achieve a USD 7 trillion economy, driven by robust domestic demand, stable GDP growth, manageable inflation, and sound fiscal policies.
Budget Presentation Day
On July 23, 2024, the Finance Minister will present the Union Budget in the Lok Sabha at 11 am. The budget speech will cover fiscal policies, revenue and expenditure proposals, and significant announcements. The Budget will then undergo detailed debate in both houses of Parliament before approval and implementation.
Pre-Budget Rituals
The presentation of the Budget involves several traditional steps. On the morning of Budget day, the Finance Minister will meet with the secretaries of her ministry at the North Block, followed by a visit to the President’s residence for permission. A Cabinet meeting, led by the Prime Minister, will also take place to brief ministers and secure Cabinet approval.
The upcoming Union Budget, the first major policy announcement of Prime Minister Narendra Modi’s third term, is eagerly anticipated. It will address critical issues like unemployment and economic stability while providing a roadmap for India’s future economic growth. The Economic Survey and subsequent Budget presentation will set the stage for the nation’s financial trajectory in the coming years.
(With inputs from agencies)