Everything, everywhere, all at once. There is a method in the spend-big-or-go-home madness that the finance minister has reiterated her faith in with the Union Budget 2023, even though a lot of it rests on hope.
Nirmala Sitharaman’s budget, the last full one before the Lok Sabha elections next year, was a no-holds-barred buildup on spending from her own previous budgets (and the super budget that was lockdown’s ‘Atmanirbhar Bharat’ stimulus measures). While a whole lot of government spending last year was primarily in infrastructure like roads and ports, the largesse now has a wider arc—agritech, affordable housing, green energy, railway, airports and even helipads.
“This budget injects new vigour into India’s development trajectory, [it] will realise the dreams of an aspirational society that includes poor, middle-class people and farmers,” said Prime Minister Narendra Modi, shortly after Sitharaman tabled the budget in Parliament.
FOLLOW THE MONEY
In the run-up to the budget, Sitharaman had two paths before her—continue with the spending pattern or get conservative in controlling the runaway fiscal deficit (the gap between what the government earns and what it spends). The pandemic had seen the fiscal deficit shoot up to nearly 10 per cent, while the fiscal responsibilities rules limit was 3 per cent.
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