'Black Budget' was presented once in the history of India, this is why this situation occurred. - Newztezz Online

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Saturday, January 27, 2024

'Black Budget' was presented once in the history of India, this is why this situation occurred.


When you turn the pages of Indian history and open the chapter after independence, you see India embroiled in many major wars. Once it happened that the country's economy became weak due to war. Then the government had to present a black budget. Why was that budget named Black Budget? Let us know the story behind it.

The budget of the year 1973-74 is known as the 'Black Budget', which was presented by the Government of India. In the year 1971, many problems were arising in the country due to India-Pakistan war, bad monsoon and economic crisis. At the time of this crisis, the economic situation of the country was very serious and the government needed special measures. At that time, the then Finance Minister Yashwant Rao B Chavan had the responsibility of presenting the budget that outlines the development of the country. It is said that at that time there was a need to take tough and positive steps to improve the economic condition of the country. For this, he presented the 'Black Budget', which suggested necessary changes for the country.

The name was given for this reason

This budget included plans that were designed to directly target economic recovery. It supported socially and economically committed measures and attempted to take difficult decisions to improve the economic condition of the country. The then Finance Minister Yashwant Rao B Chavan told in the budget speech that due to drought and reduction in food grain production in the country, there has been a deficit of Rs 550 crore in the budget. Therefore, it has been called the 'Black Budget' and has come to symbolize difficult decisions for the collective and economic well-being of the country at a challenging time. This budget was presented only once, it made plans for reforms in various sectors and tried to bring the country out of the economic crisis.

When is the black budget presented?

The government presents a black budget when its income decreases and expenses increase. To explain this with an example, suppose your earning is Rs 1 and you are spending Rs 1.5. In such a situation, your debt is increasing by 50 paise every time. In this situation the government reduces its expenses and takes necessary steps to balance the budget.

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