A national budget is much more than just a financial statement; it represents a country's economic vision, governance philosophy, and policy priorities

In India, lawmakers are marginalized by an executive-driven process, and parliament has no say over the budget.

By enhancing legislative oversight and ensuring a more democratic setting for financial governance, important institutional changes such as pre-Budget discussions and the establishment of a Parliamentary Budget Office (PBO) are required to rectify this imbalance.

The Budget as a Basis for Democracy

The budget, which serves as a nation's financial blueprint, determines how resources should be allocated and sets the government's economic and social priorities.

A key component of democratic governance has long been legislative control over public finances, which restrains the executive branch's authority.The degree of legislative control over budget creation varies among democracies worldwide; some parliaments actively draft and modify budget proposals.

An Analysis of the Structural Weaknesses in India's Budgetary Process

Domination of Executives in Budget Development

Unlike other legislative initiatives, the budget is drafted almost entirely by the Finance Ministry with minimal input from Parliament.

The executive, particularly the finance minister and senior bureaucrats, are primarily in charge of budgetary planning; even cabinet ministers are mainly ignorant of the procedure until the final presentation.This secrecy runs counter to democratic norms in many developed nations where the legislature actively participates in budget drafting.

The Weak Role of Parliamentary Committees

Although they have limited authority over the budget, parliamentary standing committees are intended to supervise.

The Departmentally Related Standing Committees (DRSCs) review grant applications from various ministries, but their findings are not legally binding.Since the government is free to disregard committee recommendations, committee scrutiny is essentially pointless.

However, in countries like the UK, Canada, and Australia, legislative committees play a larger role in budget analysis.These nations have dedicated budget offices that provide lawmakers with access to independent economic research so that parliamentary committees can make informed recommendations.

The Marginal Role of the Rajya Sabha

Another weakness in the design of India's budgeting system is the Rajya Sabha's (Upper House) limited participation in financial matters.Although it has little control over spending, the Rajya Sabha is an important legislative body that examines laws and programs.

According to Article 110 of the Indian Constitution, the Lok Sabha, or Lower House, is primarily in charge of the budget since it is a money bill.The Rajya Sabha cannot alter or reject the budget; it can only discuss it after the Lok Sabha has given its approval.

The Marginal Role of the Rajya Sabha

Another weakness in the design of India's budgeting system is the Rajya Sabha's (Upper House) limited participation in financial matters.

Although it has little control over spending, the Rajya Sabha is an important legislative body that examines laws and programs.

No Power to Modify the Budget

Perhaps the largest limitation on Parliament's power is its inability to make substantial changes to or revisions to the Budget.

Although they can express concerns and suggest changes, Members of Parliament (MPs) cannot directly change tax or spending recommendations.Unlike in countries like Sweden and France, Indian lawmakers lack the authority to propose different budgetary allocations.

Even in the Lok Sabha, opposition parties usually struggle to push for budgetary changes because the ruling party typically has a majority and can approve the budget with little opposition.