The Budget Session of Parliament is likely to commence from January 31 to February 9, sources said on Thursday. The session will begin with President Droupadi Murmu's address to the joint sitting of Lok Sabha and Rajya Sabha on the opening day. Notably, Union Finance Minister Nirmala Sitharaman will present the interim Budget for 2024-25 on February 1.
What to expect in interim Budget?
According to reports, the Union Finance Minister is considering implementing fiscal measures, such as potential tax reductions, to tackle escalating prices and address ongoing inflationary trends. Experts recommend a well-balanced combination of fiscal and monetary policies to alleviate the impact of inflation during times of uncertainty.
The upcoming interim budget on February 1 is expected to prioritise key objectives, including boosting exports, strengthening advancements in attracting investments to vital and emerging sectors, curbing the current account deficit, and outlining a clear roadmap for robust economic growth while upholding efforts towards fiscal consolidation.
What is interim Budget?
An interim budget serves as a provisional financial statement issued by the government, typically presented in an election year. Differing from a complete annual budget, the interim budget is designed to address a shorter timeframe, bridging the gap until a new government is established post-elections.
This budget provides a snapshot of the government's revenue and spending for a portion of the fiscal year, enabling it to manage its financial obligations until the new administration introduces a comprehensive budget.
Difference between Interim Budget and Full Budget
An interim budget is usually presented when the government approaches the conclusion of its term or during a transitional period. The primary objective of an interim budget is to ensure the uninterrupted flow of government expenditures and operations until the formation of a new government or until the post-election period when a comprehensive budget can be introduced. Essentially, it serves as a temporary financial plan.
On the other hand, a full-year budget provides a detailed and comprehensive overview of the government's financial landscape for the entire fiscal year. This inclusive document encompasses information on government revenue and expenditures, policy initiatives, economic forecasts, tax proposals, and various other financial aspects. Presented annually, the full-year budget outlines the government's financial and economic priorities for the respective year.
ALSO READ: Budget 2024: What is Economic Survey of India? | Here's all you need to know
