Provisions of the Budget and the Constitution

The Union Budget is a yearly financial report that estimates the government’s revenue and expenditures in order to establish future strategies for long-term growth and development.

The Union Budget of a year is referred to as the Annual Financial Statement according to Article 112 of the Indian Constitution (AFS).

It is a forecast of the government’s projected receipts and expenditures for a given fiscal year (which begins on 1st April of the current year and ends on 31st March of the following year).

The nodal entity responsible for budget preparation is the Budget Division of the Ministry of Finance’s Department of Economic Affairs.

In 1947, India presented its first budget as a sovereign nation.

Nirmala Sitharaman, the Union Finance Minister, is presenting the Union Budget 2022 for the fourth time. She will give the fiscal year 2022-23 financial results and tax suggestions (April 2022 to March 2023). As Union Finance Minister Nirmala Sitharaman leaves the Finance Ministry to present the Budget in Parliament, a Made in India tablet has taken the place of the customary ‘Bahi Khata.’

V Anantha Nageswaran, India’s Chief Economic Advisor, released the Economic Survey 2021-22 on January 31, 2022. The Indian economy is expected to develop at an annual rate of 8-8.5 percent in fiscal year 2022-23, according to the government (FY23).

The following are the highlights of the Union Budget for 2022-23:

The RBI will begin issuing digital rupees in 2022-23, utilising blockchain and other technologies. The economy will benefit greatly as a result of this. The economy will benefit greatly as a result of this. The government lays forth a credible plan to develop a public digital currency and introduces a central bank digital money to support the digital economy.

An allocation of Rs 1 lakh crore has been made for 2022-23 to help states catalyse overall economic investment. These interest-free loans for 50 years are in addition to the standard borrowing limits for states. It would be utilised to fund PM Gati Shakti-related projects as well as other state-led productive capital investments.

The goal is to reduce the time it takes to dissolve a company from two years to six months.
The country is predicted to grow at 9.27 percent, according to Finance Minister Nirmala Sitharaman, who presented the Budget.
For the next 25 years, there will be two parallel tracks: public infrastructure investments and a budget that is both inclusive and modern.

PM Gati Shakti, Inclusive Development, Productivity Improvement, Sunrise Opportunities, Energy Transition, Climate Action, and Investment Financing are the seven emphasis areas.

This Union Budget aims to build the groundwork and provide a framework for the economy for the following 25 years, from India’s 75th to India’s 100th birthday.

Linking Production Incentive packages in 14 sectors with the potential to generate 60 lakh new employment and Rs 30 lakh crore in additional new production.
Startups will be encouraged to help Drone Shakti turn her drone into a service. Courses will begin in certain ITIs across all states.
The Emergency Credit Line Guarantee Scheme would be extended through March 2023, with additional guaranteed protection of Rs 50,000 crore. The scheme now has a total cover of Rs 5 lakh crore. A separate sum has been set aside for the hospitality industry.

The announcement of the Rs 44,605 crore Ken Betwa river connection project will benefit capital goods players.
The government continues to promote digital banking. 75 digital banking units will be established in 75 districts in the future.
The North Eastern Council will carry out Prime Minister Modi’s development proposals for the region. Youth and women will be able to engage in livelihood activities as a result of this. This programme is not intended to replace current federal or state programmes.

To make things easier for citizens, e-passports will be issued in 2022-23. The business 2.0 platform will be launched.

5G spectrum auctions will take place in calendar year 2022, allowing services to debut in FY22-23.
The animation, visual effects, gaming, and comics industries all have a lot of room for young people to work. An AVGC promotion task group will be formed with all stakeholders to recommend ways to achieve this and increase domestic capacity to serve our markets and worldwide demand.
New legislation for the growth of firms and hubs will replace the Special Economic Zones Act. It will encompass existing industrial enclaves and boost export competitiveness.
In 2022-23, the Central government’s effective capital spending is expected to be Rs 10.68 lakh crore, or around 4.1 percent of GDP.

An extra allocation of Rs 19,500 crore for PLI for manufacturing of high-efficiency modules with priority to completely integrate manufacturing units to solar PV modules would be made to assist domestic manufacturing of 280 gigawatts of installed solar capacity by 2030.