history of Union Budget of India Effectively a biography of a nation in transition. This timeline traces the changing center of economic gravity through five pivotal phases and how the ‘briefcase’ has carried India’s destiny – from grain sacks to smartphones – in each Finance Minister’s own words.
Stage 1: Early Years
Year: 1947-48 an independent nation
FM: RK Shanmukham Chetty
The primary focus of the nation was to “organize into a unified unit”, deal with “setbacks resulting from partition”, and resettle refugees. “The estimates include…a lump sum provision of ₹22 crore for expenditure on evacuation, relief and rehabilitation of refugees from West Pakistan.”
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Year: 1951-52 food security
FM: CD Deshmukh
The ‘Grow More Food’ campaign was central. The Finance Minister argued that the food situation had worsened and as a result imports had to be increased. An additional 2 million tonnes of wheat was to be procured from the US “Although the government is making every possible effort…the food situation in the country is not likely to ease in the coming year.
Former Union Finance Minister, C.D. Deshmukh was leaving his chamber with budget papers in his hand while going to Parliament in New Delhi on February 29, 1952.
Year: 1955-56 planning era
FM: CD Deshmukh
The final budget of the First Five Year Plan was prepared for the “systematic implementation of the Plan” and to take stock of the achievements. “The scheme was prepared under difficult circumstances like inflation, shortage and crisis looming over the economy. The formulation of a scheme was in itself breaking new ground.”
Phase 2: Middle decade: Defense and agriculture
Year: 1963-64 national security
FM: Morarji Desai
After the Chinese invasion, the “paramount consideration” became the building of defense capability. Defense expenditure was increased to ₹867 crore. “Can we afford not to meet the challenge of Chinese aggression? Would it be wise to try to meet this challenge by abandoning our aspirations for development?”
Year: 1970-71 social justice
FM: Indira Gandhi
A shift towards reducing income inequalities. “It is generally accepted that social, economic and political stability is not possible without the growth of productive forces and increase of national wealth. At the same time, such growth and increase in wealth cannot be sustained without due attention to the welfare of the weaker sections of the community.”
Former Prime Minister Indira Gandhi getting ready to present the Union Budget on February 28, 1970. She was the first woman finance minister to present the budget.
Year: 1979-80 rural focus
FM: Charan Singh
To eliminate poverty/unemployment by giving “proud place” to agriculture and rural development. “There can be no let up in the work of agricultural reform as long as there is massive poverty and unemployment, especially in rural areas, and agriculture has the greatest potential for generating employment. Our objective must be to further increase productivity.”
Stage 3: Turning Point: Reform Era
Former Union Finance Minister Dr. Manmohan Singh on his way to Parliament House in New Delhi to present the budget documents on Wednesday, July 24, 1991. Photo Courtesy: The Hindu Archives
Year:1991-92 liberalization
FM: Manmohan Singh
The budget was presented during the “fiscal crisis” and “balance of payments” problem. The focus became “macro-economic stabilization” and “structural reforms” to integrate India with the world. “After four decades of planning for industrialization, we have now reached the stage where we should welcome foreign investment rather than fear it.”
Year: 1994-95 | a modern tax system
FM: Manmohan Singh
Focus on restoring the health of banking and phasing out “ad hoc treasury bills” to strengthen fiscal and monetary discipline. “We must accelerate the reform and modernization of our tax system… The structure now proposed goes a long way towards a modern tax system and an emphasis on moderate tax rates and compliance…”
Year: 1999-2000 | knowledge economy
FM: Yashwant Sinha
“Jai Vigyan” became a tribute to scientists and innovators. “The time has come to unleash the creative potential of our scientists and innovators at the grassroots level. Only then can we make India truly self-reliant and a leader in sustainable technologies. I propose a National Foundation to support innovators across the country.”
Step 4: Technology in Focus: Inclusion and Infra
Year: 2000-01 | infotech revolution
FM: Yashwant Sinha
Acknowledged the potential of IT companies. “Young Indian entrepreneurs are at the forefront of the infotech revolution, whether in Silicon Valley, Bangalore or Hyderabad. They have shown us how ideas, knowledge, entrepreneurship and technology can combine to drive unprecedented growth in income, employment and wealth.”
Year: 2005-06 | rural infrastructure
FM: P.Chidambaram
Among other things, the launch of a business plan for rural infrastructure. “Bharat Nirman… is to be implemented over a period of four years to create infrastructure specifically in rural India. It will have six components, namely irrigation, roads, water supply, housing, rural electrification and rural telecom connectivity.”
Former Finance Minister, Shri P. Chidambaram entering the Parliament House to present the Union Budget in New Delhi on February 28, 2005. Photo courtesy: Ramesh Sharma
Year: 2008-09 | debt relief
FM: P.Chidambaram
A huge farm loan waiver scheme was a major talking point. “The Government is conscious of the dimensions of the problem and is sensitive to the difficulties of the farming community… The Government estimates that this scheme will benefit about three crore small and marginal farmers and about one crore other farmers.”
Stage 5: Modern Age: Aspirational India
Year: 2014-15 | Smart City and Skill India
FM: Arun Jaitley
“One Hundred Smart Cities” and “Skill India” to focus on employment and entrepreneurship. “For this it is proposed to launch a pan-India program ‘Digital India’… A National Rural Internet and Technology Mission for providing services in villages and schools, training in IT skills… is also proposed.”
Year: 2016-17 | doubling farmers’ income
FM: Arun Jaitley
A specific target was set to double the income of farmers by 2022. “Access to markets is critical for farmers’ income. The government is implementing the Integrated Agricultural Marketing Scheme which envisages a common e-market platform that will be deployed in selected 585 regulated wholesale markets.”
Year: 2017-18 | Digital Economy and GST
FM: Arun Jaitley
“Digital Economy” to increase speed and transparency. “Demonetisation has strong potential to generate long-term benefits in the form of reduction in corruption, greater digitalisation of the economy… We strongly believe that demonetisation and GST… will have a game-changing impact on our economy.”
Year: 2021-22 | health and well being
FM: Nirmala Sitharaman
After the pandemic, the budget rested on 6 pillars, with ‘health and wellness’ being the first pillar. “So far, only three times in the Budget has there been a contraction in the economy. All such contractions were as a result of India’s specific conditions. This time, the contraction in our economy is due to a global pandemic…”
Union Finance Minister Nirmala Sitharaman holds a digital tablet containing the paperless Union Budget 2025-26 in a traditional ‘bahi-khata’ style pouch outside the Finance Ministry in New Delhi on February 01, 2025. Photo Courtesy: Shiv Kumar Pushpakar
Year: 2023-24 | seven priorities
FM: Nirmala Sitharaman
Seven priorities were established, including green growth, youth power and the financial sector. “Our vision for the Amrit Kaal includes a technology-driven and knowledge-based economy with strong public finances… To achieve this, public participation through Sabka Saath, Sabka Prayas is essential…”
Year: 2024-25 | new definitions
FM: Nirmala Sitharaman
Focus on 4 major castes: ‘Garib’ (poor), ‘Mahila’ (women), ‘Yuva’ (youth) and ‘Annadata’ (farmers). A New Definition of GDP: ‘Governance, Development and Performance’. “We believe in empowering the poor. Earlier approaches to tackling poverty through rights had very modest results.”
Nivedha M is interning with The Hindu data team
published – February 01, 2026 11:00 AM IST
