All About India's First Budget

By: EjazUlHaqBhat

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The Union Budget holds immense significance in the country's economic framework, with its roots tracing back to the colonial era

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India's first Union Budget was presented on April 7, 1860, by James Wilson, the finance member of the Indian Council and the founder of The Economist newspaper

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At the time, India was under British colonial rule, and the Budget was a response to the financial difficulties faced by the British administration

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The British administration faced the difficulties following the First War of Indian Independence in 1857 (Sepoy Mutiny)

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In the wake of the failed rebellion, Queen Victoria sent James Wilson to India to reform the financial system, introduce a tax structure, and implement a new paper currency

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One of his key initiatives was the introduction of income tax, which continues to be a significant source of government revenue today

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James Wilson also introduced an appropriation audit, modelled on the English system, to oversee monthly expenditure accounts

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The first Union Budget of the newly independent India was presented on November 26, 1947, by RK Shanmukham Chetty, the first Finance Minister of independent India

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Since 2019, Nirmala Sitharaman has been presenting the Union Budget. This will be her eighth consecutive Budget

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