This year, Narendra Modi led central government presented the budget 2 months ahead of the usual time. There was no specific reason to it and a lot of people thought it could be in order to woo the voters just ahead of the assembly elections. However, Narendra Modi has now pitched for advancing the whole financial year to January – December and the whole scene makes much more sense now.
For the first time, Narendra Modi spoke openly about it yesterday at the Niti Aayog’s third annual summit. Prime Minister asked the states to take initiatives in order to implement the new time frame of financial year. He also asked state governments to address the issues which are preventing them to take quicker decisions for development.
A panel header by former chief economic advisor, Shankar Acharya has already submitted its report to the government after examining the processes and difficulties involved. India has been following the April – March financial year model, whereas, globally, the financial year is same as calendar year.
Niti Aayog’s third meeting of the governing council was attended by chief ministers of 27 states. As expected, Arvind Kejriwal and Mamata Banerjee skipped the meeting. However, many non bjp chief ministers including the ones from Punjab, Karnataka, Bihar and Tripura were seen at the event.