Advancing the Budget date makes economic sense as it will ensure implementation of the proposals from the beginning of the next fiscal. But concerns arise when the Budget is presented just a few days ahead of elections — in this instance, in five States including Uttar Pradesh. Expectedly, this has seen the Opposition approaching the Election Commission (EC).

The Centre has countered EC’s queries, saying the Budget is a legislative process and does not transgress the model code of conduct. Besides, the Budget proposals are not specific to one State, but apply to all States and UTs. Still, the political ramifications cannot be ignored. Given that the new Budget date was declared prior to the election dates, wouldn’t it have been wiser for the EC to schedule the polls keeping this in mind? Else, shouldn’t the Government have waited for the EC before fixing the Budget date?

If the EC follows the 2009 precedent when it restrained States from presenting their Budgets because of the general election, the Centre may have to rethink its strategy. Finance Minister Arun Jaitley has said that it is essential to present the Budget on time to ensure that expenditure flow begins from the start of the fiscal. He may not have specific announcements for poll-bound States, but there will surely be efforts to ease ‘inconveniences’ caused by demonetisation. This time, the Railway Budget will also be announced with the Budget. Besides, there is generally some election or the other taking place. Though the Centre terms the Budget a legislative exercise, the EC is not convinced and has asked the Cabinet Secretary for clarifications. However, clarity on the legal process is called for. The buck should stop with the EC.

Chief of Bureau Delhi

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