Budget 2024: What is economic survey? Will it be presented ahead of interim budget?

Budget 2024: Finance Minister Niramala Sitharaman will present the budget on February 1, 2024, for the sixth consecutive year. This year, due to the 2024 Parliamentary elections, an interim budget will be presented instead of a full-year budget. This article aims to decode whether or not an 'economic survey' (a document that is announced one day before the actual budget) be presented ahead of this year's interim budget.

So what is an economic survey? 

An economic survey is a document that provides economic growth estimates and explains in depth the direction of the economy in the future. The survey's judgement and suggestions, however, are not budget-binding. It also reviews the country's performance in the past year and underlines the challenges that lie ahead along with measures to deal with them. It essentially lays the groundwork for the presentation of the budget.

Who prepares the economic survey?

The document is prepared by the Chief Economic Adviser to the Ministry of Finance, who is appointed by the Prime Minister of India.

Why is an economic survey important?

The survey provides an overview of the trends seen in several sectors over the preceding year, such as agriculture, manufacturing, employment, infrastructure, pricing, exports, imports, foreign exchange reserves, and money supply, to name a few.

It emphasises the government's policy efforts, evaluates the performance of development programmes, and assesses the economy's prospects in the short and medium term. Importantly, the survey forecasts gross domestic product (GDP) growth and provides insight into the country's economic prospects.

Will the economic survey be presented ahead of the interim budget? 

As per Agam Gupta, Executive Director, Share India FinCap, the ruling government is not required by parliamentary convention to present the economic survey together with the interim budget during an election year. 

Gupta added that the government that takes office after the elections is tasked with framing the Economic Survey.

On the other hand, Atul Parakh, CEO of Bigul says he believses the economic survey will be presented this year ahead of the interim budget. 

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