Rajya Sabha LoP Mallikarjun Kharge speaks in Rajya Sabha during the Budget Session, in New Delhi on Thursday, February 5, 2026.
| Photo Credit: Sansad TV

Finance Minister Nirmala Sitharaman speaks in the Lok Sabha on February 11, 2025. Photo: Sansad TV via PTI

India’s economy is in the midst of “a speedy rebound” after a brief moderation in the second quarter of this year, Finance Minister Nirmala Sitharaman said on Tuesday, asserting that the Union Budget 2025-26 has sought to address the immediate challenges facing the national economy amid “immense” global uncertainties.

Responding to the discussion on the Budget in the Lok Sabha, Ms. Sitharaman said the Budget very clearly spoke of the various means through which the Centre wants to increase the liquidity available to the people, and aims to uplift households’ sentiments, spur private sector investments, and accelerate growth.

Also read | A Budget that is forward-looking and growth-oriented

‘Strong economic foundations’

Stressing that India’s economy grew by an average of about 8% in the three years prior to 2024-25, Ms. Sitharaman said: “Only in two of the last 12 quarters has the growth rate touched 5.4% or remained below it. I want to inform the members that on account of strong economic foundations, a speedy rebound is happening and we shall take measures which will, going forward, help keep our economy as the fastest growing economy as it has in the last few years.”

Private Final Consumption Expenditure (PFCE), the Minister pointed out, is expected to grow 7.3% in 2024-25, driven by rural demand. Overall, PFCE is estimated to be at 61.8% of nominal GDP, the highest level since 2002-03.

Global uncertainties

The Budget has come at a time of immense uncertainties and changes in the global macro-economic environment, when issues of global concern like persistent conflicts, stagnation in global GDP, and sticky inflation in the emerging markets also have an impact on India’s budget, she said. These are “vitiating the atmosphere” for all developing economies, she noted.

While these uncertainties have weighed on the Budget-making process, the government has sought to balance national developmental priorities with fiscal imperatives, Ms. Sitharaman underlined. She also addressed some members’ concerns about money being denied for capital expenditure projects.

‘Capex outlays up’

“I heard occasionally this argument being put forward, saying, has the paradigm shifted from capital expending because that gives a greater multiplier effect to giving people, the taxpayers, some money in their hands… No, capital expenditure outlays have not come down at all. On the contrary, they have gone up,” she said.

The effective capital expenditure for 2025-26 is pegged at 4.3% of GDP, which is 0.1% lower than the fiscal deficit of 4.4% of GDP, the Minister said. “What does it indicate? The government is using almost the entire borrowed resources for financing effective capital expenditure. The borrowings are not going for revenue or other committed expenditure… It’s going only for creating capital assets,” she emphasised.

Budget Session Live Updates:

The budget session of the Parliament will commence today with President Droupadi Murmu addressing the joint sitting of the two Houses. After her address, Union Finance Minister Nirmala Sitharaman will table the Economic Survey in Lok Sabha and Rajya Sabha.

The document, prepared by a team led by Chief Economic Adviser V Anantha Nageswaran, will provide an official assessment of the economy’s performance in the ongoing financial year.

The government has listed 16 Bills, including the Waqf (Amendment) Bill, besides the financial business for the Budget session.

On Saturday, Ms Sitharaman will table the first full Budget of the Modi 3.0 government.

The first part of the Budget session will conclude on February 13 before breaking for recess to examine the Budget proposals. The session will reconvene on March 10 and continue till April 4. The entire Budget Session will have 27 sittings.

Here Are Live Updates On Budget Session:

New Delhi:

The budget session of the Parliament has begun with President Droupadi Murmu addressing the joint sitting of the two Houses. It will be followed by Union Finance Minister Nirmala Sitharaman tabling the Economic Survey in Lok Sabha and Rajya Sabha.

New Delhi:

Sixteen Bills, including the Finance Bill 2025, amendments to the Waqf and Banking Regulations Act, and the merging of the Indian Railways and Indian Railways Board Acts, will be tabled in Parliament’s Budget session, which begins on Friday with the Economic Survey 2024-25.

Among the 13 others likely in this session are amendments to the Disaster Management and Oilfields (Regulation and Development) laws. Bills dealing with coastal and merchant shipping and another seeking to rename the Institute of Rural Management Anand as the Tribhuvan Sahkari University and declare it ‘an institution of national importance’ may also be presented.

Bills looking to safeguard financial interests related to the aviation sector and change current regulations relating to immigration and the entry of foreigners are also expected this session.

Finally, another key bill expected is the Readjustment of Representation of Scheduled Tribes (ST) in Assembly Constituencies of the State of Goa. As the name suggests, this seeks to re-allocate Assembly seats in that state to better represent its ST communities.

The big-ticket items in this session, which will see Finance Minister Nirmala Sitharaman present an eighth Union Budget — leaving her just two behind the record of 10 set by Morarji Desai, are the Waqf (Amendment) and Finance Bills.

Waqf (Amendment) Bill

The bill proposing 44 changes to Waqf laws — the way Muslim charitable properties are managed in this country — was presented in Parliament in August last year.

The controversial bill triggered furious protests from the Opposition as soon as it was tabled and referred to a joint committee led by BJP MP Jagadambika Pal. The JPC — which held nearly three dozen sittings, but was rocked by chaos and protests from outnumbered opposition members, who said their concerns were being ignored — presented its report this week.

The House panel made 14 recommendations, all from members of the ruling BJP or its allies while rejecting 44 made by opposition MPs, another source of acrimony between the two sides.

The recommendations, and the Bill, are expected to be taken up in this session.

Finance Bill

The Finance Bill is critical for several reasons, the most important of which is the talk of a new direct tax code that will result in a complete overhaul of existing the Income Tax Act of 1961.

The new code is expected to make income tax laws easy to read, understand, and follow, as well as make it easier for taxpayers to calculate their dues and file returns.

Sans this, the Finance Bill will still contain several important reforms and will be central to the Central government’s implementation of all of Finance Minister Nirmala Sitharaman’s budgetary proposals.

There are also amendments to the banking laws that the Centre has said will strengthen governance of the banking sector and enhance consumers’ and customers’ convenience with respect to nominations and protection of investors.

Other Bills

Maritime laws will see updates, with the Bills of Lading Bill, Carriage of Goods by Sea Bill, Coastal Shipping Bill, and the Merchant Shipping Bill, 2024, set to modernise shipping rules.

The Oilfields Amendment Bill will propose updates to laws governing oil exploration and extraction. The Boilers Bill will introduce new safety rules for boilers in industrial applications.

Another key legislative proposal is the Disaster Management (Amendment) Bill, which will transfer the responsibility of making disaster plans to the Central and state-level forces, and ensure an updated database for both, to ensure a faster and more efficient response.

(Except for the headline, this story has not been edited by NDTV staff and is published from a syndicated feed.)

New Delhi:

Sixteen bills, including the Finance Bill 2025, amendments to the Waqf and Banking Regulations Act, and the merging of the Indian Railways and Indian Railways Board Acts, will be tabled in Parliament’s Budget session, which begins Friday with the Economic Survey 2024/25.

Among the 13 others likely this session are amendments to the Disaster Management and Oilfields (Regulation and Development) laws. Bills dealing with coastal and merchant shipping and another seeking to re-name the Institute of Rural Management Anand as the Tribhuvan Sahkari University and declare it ‘an institution of national importance’ may also be presented.

Bills looking to safeguard financial interests related to the aviation sector and change current regulations relating to immigration and the entry of foreigners are also expected this session.

Finally, another key bill expected is the Readjustment of Representation of Scheduled Tribes in Assembly Constituencies of the State of Goa. As the name suggests, this seeks to re-allocate Assembly seats in that state to better represent its ST communities.

The big-ticket items in this session, which will see Finance Minister Nirmala Sitharaman present an eighth union budget – leaving her just two behind the record of 10 set by Morarji Desai, are the Waqf (Amendment) and Finance Bills.

Waqf (Amendment) Bill

The bill proposing 44 changes to Waqf laws – the way Muslim charitable properties are managed in this country – was presented in Parliament in August last year.

The controversial bill triggered furious protests from the opposition as soon as it was tabled, and referred to a joint committee led by BJP MP Jagadambika Pal. The JPC – which held nearly three dozen sittings, but was rocked by chaos and protests from outnumbered opposition members, who said their concerns were being ignored – presented its report this week.

READ | Waqf Amendment Bill Cleared By House Panel With 14 Changes

The House panel made 14 recommendations, all from members of the ruling BJP or its allies, while rejecting 44 made by opposition MPs, another source of acrimony between the two sides.

NDTV Explains | Rules On Non-Muslim Members Among Changes To Waqf Law

The recommendations, and the Bill, are expected to be taken up in this session.

Finance Bill

The Finance Bill is critical for a number of reasons, most important of which is talk of a new direct tax code that will result in a complete overhaul of existing the Income Tax Act of 1961.

The new code is expected to make income tax laws easy to read, understand, and follow, as also make it easier for taxpayers to calculate their dues and file returns.

READ | New, ‘Simple’ Income Tax Act In Budget 2025? Sources Said…

However, earlier today sources told NDTV the new code may not be presented as part of this Finance Bill, but as a separate document at a later date.

Sans this, the Finance Bill will still contain several important reforms, and will be central to the central government’s implementation of all of Ms Sitharaman’s budgetary proposals.

There are also amendments to the banking laws that the centre has said will strengthen governance of the banking sector and also enhance consumers’ and customers’ convenience with respect to nominations and protection of investors.

Other Bills

Maritime laws will see updates, with the Bills of Lading Bill, Carriage of Goods by Sea Bill, Coastal Shipping Bill, and the Merchant Shipping Bill, 2024 set to modernise shipping rules.

The Oilfields Amendment Bill will propose updates to laws governing oil exploration and extraction. The Boilers Bill will introduce new safety rules for boilers in industrial applications.

Another key legislative proposal is the Disaster Management (Amendment) Bill, which will transfer the responsibility of making disaster plans to the central and state-level forces, and ensure an updated database for both, to ensure a faster and more efficient response.

With input from agencies

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The dates for the forthcoming Budget session of Parliament have been announced. Once again, at very short notice. We did some research and here is what we found. Historically, the Indian Parliament provided ample time for preparation. The first two Lok Sabhas (1952–1962) averaged a commendable 47 days between the time the notice was given, and the start of the session. Over the years, however, this gap has narrowed significantly. Under the current government, the average has plummeted to 17 days’ notice for summoning sessions—one of the lowest in the history of independent India. This time around, the Parliamentary bulletin announcing the starting date (January 31) of the Budget Session, was announced on January 17. Abysmal. Fifteen days’ notice!    

India’s Parliament has seen this troubling trend in the last two decades. The lack of proper planning hurts the functioning of a Parliamentary democracy. The diminishing lead time between the issuance of summons and the commencement of sessions is only one of the many ills that are ‘turning Parliament into a deep, dark chamber’. If schools and colleges can set up their calendars way in advance, why can’t Parliament? There are multiple advantages of preparing and then announcing a calendar for Parliament with sufficient lead time. Proper lead time will ensure higher quality of outputs from Members of Parliament (MPs).  

The Constitutional Gap

Unlike many other democracies, India does not have a fixed parliamentary calendar. Conventionally, Parliament meets for three sessions a year:

1. Budget Session (usually February-May),
2. Monsoon Session (usually July-August), and
3. Winter Session (usually November-December)

The only constitutional requirement is that there should not be more than six months between two sessions. The gap has enabled successive governments to carve out timing for sessions to suit themselves. This selfish tactic undermines the robustness of Parliament and raises serious questions.  Can a Parliament that meets sporadically, with just two weeks’ notice, be an effective amplifier to voice concerns of citizens? Can a Parliament that gives MPs insufficient time to prepare, be a shining example of representative governance? Members of the Lok Sabha and the Rajya Sabha are elected not just to legislate, but also to hold the government accountable, scrutinise its actions, and debate matters of national importance. These responsibilities will be fulfilled far better with a structured and predictable Parliamentary calendar.  

Efforts to address this issue go back many decades. In 1955, the General Purposes Committee of the Lok Sabha explored the idea of a fixed Parliamentary calendar. Then again in 2002, the National Commission to Review the Working of the Constitution, emphasised the need for a minimum number of sittings. Unfortunately, these proposals have still not been implemented.  

The 2019 Bill

In 2019, your columnist introduced a Private Member’s Bill in Parliament to establish a fixed calendar for Parliamentary sessions and mandate a minimum of 100 sitting days annually. This aimed to enhance the functioning of Parliament by ensuring governments do not evade accountability by delaying sessions or cutting them short. A fixed schedule would allow Members of Parliament to plan their legislative and constituency responsibilities effectively, ensuring adequate time for debating and scrutinising bills, policies, and issues of public importance. By guaranteeing at least 100 sitting days, the bill sought to strengthen the democratic process, improve legislative efficiency, and uphold transparency and accountability in governance.

Restoring The Purpose

During the Constituent Assembly debates, members like K.T. Shah argued that the flexibility of not having a fixed calendar should not lead to misuse, emphasising that Parliament must meet often to ensure proper oversight of the executive. India prides itself on being the world’s largest democracy. Yet, the strength of a democracy is measured not by its size but by the effectiveness of its institutions. Parliament is the cornerstone of this system, and its proper functioning is essential for ensuring that the voices of citizens are heard and their concerns addressed. A fixed Parliamentary calendar is not just a procedural reform, it will be a big step toward restoring some measure of the dignity and purpose of this institution.  

In countries like the UK and the US, Parliament and Congress have fixed session schedules. For instance, the UK House of Commons follows an annual calendar approved months in advance, ensuring MPs can prepare and balance their legislative and constituency duties.

This issue transcends political affiliations. It is about safeguarding the democratic framework and ensuring that Parliament fulfils its constitutional mandate. Seventy-five years after adopting the Constitution, is as good a time as any, to give the world’s largest Parliamentary democracy a calendar with a well-planned schedule, and at least 100 days of Parliament being in session.  

Let’s get this done.  

(Derek O’Brien, MP, leads the Trinamool Congress in the Rajya Sabha)

(Additional research: Chahat Mangtani, Dheemunt Jain)

\Former Finance Minister and Congress leader P Chidambaram.
| Photo Credit: ANI

The White Paper by the Narendra Modi government on the state of the economy under the Congress-led United Progressive Alliance (UPA) is a “hatchet job” and “a white lie paper,” former Finance Minister P. Chidambaram asserted on February 9.

“It is a white lie paper. Even the authors will not claim that it is an academic, well-researched or scholarly paper. It is a political exercise intended to damn the previous government and hide the present government’s broken promises, monumental failures and betrayal of the poor,” Mr. Chidambaram said.

Parliament Budget Session – February 9 updates

The former Finance Minister said no other government had made so many “wild promises” as the Modi government and then broken them “without an expression of regret”.

Mr. Chidambaram pointed out that the Modi government had promised two crore jobs every year, bring back black money parked abroad in 100 days, put ₹15 lakh in every citizen’s bank account, bring down prices of petrol, diesel at ₹35 a litre, build 100 smart cities by 2022, double farmers’ income, house to every family by 2022 and achieve a $5 trillion economy by 2023-24.

“In fact, the government laughed them away as election jumlas,” he said, adding, “The paper released today is not a white paper; it is a paper that is intended to whitewash the many sins and commissions of the NDA government in the last 10 years”.

Also Read | Congress ‘black paper’ on ‘Modi government’s failures’ focuses on unemployment and neglect of non-BJP States

Fiscal deficit

Giving a comparative analysis, the former Finance Minister said fiscal deficit was 4.5% in the last year of the UPA regime and 5.8% in the last year of the NDA; household saving as percentage of GDP was 23% under the UPA and 19% under the NDA; national debt under the UPA was ₹58.6 lakh crore while it is ₹173.3 lakh crore under the NDA.

“The Indian economy recorded the ‘golden period of growth’ in the three years between 2005-06 and 2007-08 when the GDP grew at 9% or more at an average of 9.5%,” he added.

Finance Minister Nirmala Sitharaman tables white paper in the Lok Sabha on February 8, 2024. Photo: Sansad TV via ANI

As promised in her Interim Budget, Finance Minister Nirmala Sitharaman laid a White Paper on the economy in the Lok Sabha on Thursday, outlining that the UPA’s 10 years in office created “an inheritance of loss” for the country and the Narendra Modi-led NDA government “rescued the economy from a state of crisis, despair and paralysis”.

Coming two days before the Seventeenth Lok Sabha is adjourned for the last time, the 47-page paper with a few pages of data annexures, sought to make a case that the present government had rejuvenated the economy from the UPA’s policy stasis and misgovernance to infuse it with “dynamism and growth, and hope in the people”.

The paper attributed the few UPA years of high growth to reforms undertaken by the Atal Bihari Vajpayee-led NDA government, and blamed the Manmohan Singh regime not only for being fiscally profligate and opting for “quick fixes” like farm loan waivers, but also for failing to deliver on reforms such as Aadhaar and the Goods and Services Tax (GST).

Parliament Budget Session | Follow LIVE updates on February 08, 2024

“When the NDA government took over the reins in 2014, the economy was in bad shape, nay, crisis. We faced the hydra-headed challenge of fixing an economy mismanaged for a decade, and restoring its fundamentals to sound health,” the paper noted, listing out improvements in various macro-economic and infrastructure indicators such as inflation, forex reserves and highway building pace.

“Our government refrained from bringing out a White Paper on the poor state of affairs then. That would have given a negative narrative and shaken the confidence of all, including investors,” the paper said. One of the objectives of bringing out this paper now, the Ministry said, was to “generate a wider, more informed debate on the paramountcy of national interest and fiscal responsibility in matters of governance over political expediency”.

“Then, we were among the ‘fragile five’ economies; now, we are among the ‘top five’ economies, making the third highest contribution to global growth every year,” the paper said, stressing that the economic policy focus has been to undo “the damage of the previous decade”.

“Now that we have stabilised the economy and set it on a recovery and growth path, it is necessary to place in the public domain the seemingly insurmountable challenges — left behind as a legacy by the UPA government,” the paper stated.

Foreign exchange crunch

Alleging that the UPA created a foreign exchange crunch that “reeked of a re-run of 1991 when India had to approach the IMF for assistance during a Balance of Payments crisis”, the paper said by the end of September 2013, forex reserves were just enough to finance little over 6 months of imports, down from 17 months at the end of March 2004. As of January 2024, reserves were sufficient for 10.6 months of imports, it said.

While the paper listed out some of the structural reforms undertaken by what it refers to as “our government”, such as the Insolvency and Bankruptcy Code, liberalisation of foreign direct investment (FDI) norms and GST, it makes no mention of the demonetisation of high-value currency notes in 2016 that was aimed at denting corruption and weeding out black money. However, it does state that “We continue to undertake measures to unearth black money and to discourage recourse to it”.

Alleging “pervasive corruption” under UPA’s watch that had “shaken people’s confidence”, the paper shares the “current status” of 15 “high-profile” “scams”, including the ones pertaining to coal block allocation, 2G spectrum, Commonwealth Games, and deals like Aircel-Maxi, Antrix-Devas and INX Media.

Also Read | Union Budget | Indian economy witnessed profound positive transformation in last 10 years, says FM Nirmala Sitharaman

While some of those cases are still “under investigation” such as the “Land for Jobs” case in the Railways and the purchase of Hawk Aircraft, the paper is silent on the current status in the procurement corruption allegations pertaining to Augusta Westland Helicopter and Pilatus Basic Trainer Aircraft.

“When our government assumed office, the economy was on a road to nowhere, exhibiting tell-tale signs of deep distress emanating from multiple ‘wrong turns’ in economic policy,” the Ministry emphasised.

The “disconnect between India’s policy planners and priorities for the country was so stark” that the people gave an “overwhelming mandate” in the 2014 Lok Sabha polls to the NDA to “take charge of the reins, reverse the staggering economic and fiscal muddle that the country was mired in and restore its dynamism and optimism.”

“Our government, unlike its predecessor, invested in the foundations of the economy along with building a sturdy superstructure. Looking back at the last 10 years, we can say with humility and satisfaction that we have successfully overcome the challenges left behind by the previous government. That said, we are not resting on our laurels. There are miles to go and mountains to scale before we sleep,” the paper concluded.

Elamaram Kareem, CPI (M) MP from Kerala, says that there is no mention of the 60-crore workforce of India in the Bill. Only with Ayodhya, they cannot overcome the next election, he says. 

AITC MP Jawhar Sircar asks the government what is the GDP growth now. We get the impression that it is at its highest level, but this is not a fact, he says. The growth during UPA’s tenure has been over 8.1%, while the growth under this government has been 5.5%, he says. This year it has reached 7.3%, but it does not destroy the averages, he adds, saying that we need to be clear about statistics instead of misleading the people. 

He says that there is a feeling as if everything began from 2014, and before then was an era of complete darkness, and counters it saying that as mature people we cannot repeat these sentiments. We have to get out of this ‘before Modi and after Modi’ mindset, he says. 

He highlights that right now the total domestic debt of India stands at Rs. 164 lakh crores.

He also asserts that several States are being affected by what he calls ‘fiscal terrorism,’ including West Bengal, Tamil Nadu and Karnataka. He says that there are cuts in all domains, and the money is going towards capital expenditure, to the capitalist class which is contributing only 10% to the GDP.