The

strength of a nation derives from the integrity of the homeConfucius

Vol. III, No. 8 , 20th February 2015

Union Budget is as important as Weather Forecast

Across the growing markets, there will be nearly 200 million households with incomes in excess of US $ 35000
by 2022, much more than in the United States. Demand for health and education services is likely to expand
significantly across 25 nations stated as growing markets.
Our spending on services such as communication, culture
and recreation going to grow at almost thrice the pace of
spending on food. We are noticing some significant trends
in the spending power across the growing markets. In
China, the number of households earning over US $35000
in real terms will triple to almost 80 million by 2022, more
than Japan.
Look at graph; you will notice that India is one among
those nations in which household income is rising fast. At

the same time, India is passing through unusual times and
happenings right beginning from BJPs victory as a one party to run the affairs of this country, Narendra Modi
taking charge of Worlds 2nd largest populated nation and democracy, positive waves for India across the world
in the times when one third of the countries across the globe are in state of internal/external turmoil, Sensex
and Gold prices leading the market, Oil prices coming down, US Presidents visit on Republic Day, AAPs victory
in Delhi & many more such events to note down.
These surprising events & uprising trends will lead to demand/use of more money in circulation among the
individuals to save, spend and invest more. The two major challenges for Govt are Planning and Regulation.
The Budget is one of the important exercises in this direction. As per article 112 of the Indian Constitution, the
Union Budget of a year also referred to as the annual financial statement, is s a statement of the estimated receipts
and expenditure of the government for that particular year.
Probably, we all do this exercise at our home every month but many times forget to pay attention to our
Nations budget, which has direct impact on us. Let us not restrict our concerns to Tax exemptions and prices of
items instead look at expenditure allocations to different sectors prioritized by the government and importance
of source of estimated receipts, as well this time.
We dont mind if you continue watching weather forecast, to which you have no any control over it, but please
pay attention to Union Budget, this time, to which you have a control over and it controls you as well.
E & O E

Written by: Sandhir Sharma

Published by: -
Chitkara Business School,
Chitkara University, Punjab

Disclaimer: This Newsletter is prepared to enhance awareness and for information

only. The information is taken from sources believed to be reliable but is not
guaranteed by Chitkara Business School as to its accuracy. Chitkara Business
School will not be responsible for any interpretations, opinions generated or
decisions taken by readers.