Parliament’s Diminished Role in India’s Budget Process

Context:

This analysis critiques the marginalisation of India’s Parliament in budget-making, highlighting the executive’s dominance and proposing reforms to strengthen legislative oversight. The article is pertinent for understanding governance, financial accountability, and democratic processes as of March 22, 2025.

1. Executive Dominance: The Finance Ministry crafts the Budget unilaterally, sidelining Cabinet and Parliament, limiting pre-presentation scrutiny and debate, unlike other legislative bills.
2. Ceremonial Role: Parliament’s budget role is largely symbolic—approving rather than shaping proposals—reducing elected representatives’ influence over financial planning.
3. Rajya Sabha Exclusion: Despite democratic credentials, the Rajya Sabha has no substantive budget role; even a Finance Minister from Rajya Sabha cannot vote on their own Lok Sabha-presented Budget.
4. Global Comparison: Unlike parliaments in some nations that actively draft budgets or hold detailed committee reviews, India’s legislative engagement is minimal, correlating with weaker economic outcomes.
5. Declining Oversight: Poor debate quality, brief discussions, and ineffective subject committee scrutiny reflect Parliament’s waning budgetary authority, undermining democratic accountability.
6. Proposed Reform - Pre-Budget Talks: Introducing pre-budget consultations would shift Parliament from a passive recipient to an active participant, fostering inclusive financial deliberation.
7. Proposed Reform - PBO: Establishing a Parliamentary Budget Office (PBO) would provide MPs with independent, technical analysis, enhancing scrutiny and reducing reliance on executive data.
8. Democratic Implications: Current executive monopoly fragments debates and limits oversight, weakening representative democracy’s core—public finance reflecting collective will.
9. Potential Benefits: Robust parliamentary engagement could ensure equitable policies, transparency, and a governance framework prioritizing public interest over executive fiat.

Key Terms:

• Budgetary Affairs: Financial planning and allocation processes within government.
• Executive Monopoly: Dominance of the executive branch over budget formulation.
• Parliamentary Budget Office (PBO): Independent body aiding MPs with budget analysis.
• Pre-Budget Discussions: Consultations before budget presentation to involve legislators.
• Representative Democracy: System where elected officials reflect public will.
• Article 19(2): Constitutional clause listing reasonable free speech restrictions (contextual reference).
• Financial Oversight: Parliament’s role in monitoring and approving public expenditure.

Link To The Original Article – https://www.thehindu.com/opinion/lead/indias-marginalised-parliament-in-budgetary-affairs/article69358975.ece