Finance Minister Nirmala Sitharaman will present the Union Budget 2025 on February 1, 2025. Budgets have always played a significant role in shaping the country’s economic trajectory and promoting social justice and equality. Let’s dive into the details of some of the most iconic budgets in the history of independent India.
Union Budget 2025: 5 Game-Changing Budgets
Independent India’s First Budget: Independent India’s first budget was presented by R.K. Shanmukham Chetty on November 26, 1947, just three months after the country gained independence. As a seasoned economist, Chetty played a vital role in shaping India’s trade and commerce landscape.
The estimated revenue was Rs 171.15 crores, while the total expenditure stood at Rs 197.29 crores, with Rs 92.74 crores allocated to defense sector.
Black Budget, 1973: The 1973 budget, presented by Yashwantrao B. Chavan, was called the “Black Budget”. This was primarily because the fiscal deficit was estimated was massive at Rs. 550 crores. Also, the budget allocated Rs. 56 crores for nationalizing the Indian Copper Corp, coal mines, and other general insurance companies.
The Carrot and Stick Budget, 1986: The budget presented by the then Finance Minister VP Singh is notable for its bold measures to start dismantling the “License Raj” in India. Furthermore, this budget marked a soft shift towards liberalization.
Epochal Budget, 1991: ‘Epochal’ means ‘important’. As the name suggests, this is perhaps the most important budget of the independent India. This budget, presented by the then Finance Minister Dr. Manmohan Singh, was a game-changer for India’s economy. It introduced significant reforms, including a major reduction in customs duty from 220% to 150%, making India more attractive to global trade. It opened India to the global markets. This was also the longest budget speech in terms of word count.
The Millennium Budget, 2000: This Budget, presented by Finance Minister Yashwant Sinha, marked the beginning of a new era. This budget was particularly significant for its favorable impact on the IT sector.
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