What are the features of the ‘Union Budget’ mobile app launched by govt?
The government on Saturday launched the ‘Union Budget’ mobile app that will provide hassle-free access of Budget documents by MPs and the general public. It facilitates complete access to 14 Union Budget documents, including the Annual Financial Statement, Demand for Grants and Finance Bill. The Budget documents will be available on the app after the Budget Speech on February 1.
What are the main features of latest Indian Union budget?
What does Union budget include?
Union Budget keeps the account of the government’s finances for the fiscal year that runs from 1st April to 31st March. Union Budget is classified into Revenue Budget and Capital Budget.
Revenue budget includes the government’s revenue receipts and expenditure. There are two kinds of revenue receipts – tax and non-tax revenue. Revenue expenditure is the expenditure incurred on day to day functioning of the government and on various services offered to citizens. If revenue expenditure exceeds revenue receipts, the government incurs a revenue deficit.
Capital Budget includes capital receipts and payments of the government. Loans from public, foreign governments and RBI form a major part of the government’s capital receipts. Capital expenditure is the expenditure on development of machinery, equipment, building, health facilities, education etc. Fiscal deficit is incurred when the government’s total expenditure exceeds its total revenue.
NEW DELHI: Finance minister Nirmala Sitharaman on Saturday launched the ‘Union Budget mobile app’ for hassle-free access of Budget documents by members of Parliament (MPs) and general public.
Launched on the occasion of the customary ‘halwa’ ceremony, the app facilitates complete access to 14 Union Budget documents, including the annual financial statement, demand for grants (DG), finance bill and more as prescribed by the Constitution.
Budget 2021: Nirmala Sitharaman holds customary ‘halwa’ ceremony
“The app has a user-friendly interface with embedded features of downloading, printing, search, zoom in and out, bidirectional scrolling, table of contents and external links, etc. It is bilingual (English & Hindi) and will be available on both Android and iOS platforms,” the finance ministry said in an official release.
Why is the Union Budget Important?
In simple words, the union budget of India is our country’s annual financial statement. As per Article 112 of the Indian Constitution, budget presentation is mandatory before a new fiscal year begins.
Once presented, the budget will remain valid for the following fiscal year that starts on April 1 and ends on March 31 of the next year.
WHAT COMPRISES THE UNION BUDGET?
The union budget is divided into two parts-
- Capital Budget-
- As the name suggests, the capital budget provides details with regards to the capital payments and capital receipts of the government. The capital payments can be the money spent on infrastructure, healthcare facilities, etc. The capital receipts account for the loans taken from the RBI or the general public.
- Revenue Budget-
- The revenue budget comprises of the revenue expenditure and revenue receipts. The government is known to be suffering from a ‘revenue deficit’ in case if the revenue receipts are lower than the revenue expenditure.
IMPORTANCE OF UNION BUDGET
India has a parliamentary democracy where the government cannot arbitrarily spend, borrow, or tax money. So, for the government to function effectively and help improve the economic and social framework of the country, budgeting and planning is a necessity.
Some of the most important reasons that explain the importance of union budget are as follows-
- Resource Allocation
- As the resources are limited, it is with the help of a union budget that the government tries to employ them effectively so that the profits can be maximized.
- Control Prices
- One of the most important duties of the union budget is to handle and foresee inflation and deflation. Surplus policies and deficit policies are focused upon during inflation and deflation, respectively, to keep the economy stable.
- Reducing Economic Inequality
- No society is free from economic inequalities. It is with the help of budgetary policies that the government tries to bridge the gap between the rich and the poor.
UNION BUDGET AND INDIAN ECONOMY
Now that you know what union budget is, it shouldn’t be difficult for you to understand how it impacts the overall Indian economy.
A union budget that considers all the different sectors of the Indian society is a must for the economic growth of the country, especially with India aiming to become a $5 trillion economy.