Team behind the Union Budget 2025

The Union Budget of India is one of the most critical events in the country’s economic calendar. It plays a pivotal role in shaping the country’s fiscal policy, allocating resources, and setting the tone for economic growth and stability.

On February 1, 2025, Finance Minister Nirmala Sitharaman will present her eighth consecutive budget, the first full-year budget of the Modi government after its re-election.

Ms. Nirmala Sitharaman: The Central Architect

At the helm of the Union Budget 2025 is Finance Minister Nirmala Sitharaman, who has become a central figure in India’s economic policy landscape. She is the first Finance Minister to present eight consecutive budgets, a feat that includes interim budgets as well. Sitharaman took charge in 2019 and has steered the nation’s economic policy through turbulent times, including the pandemic and its aftermath.

Sitharaman’s approach to the budget is marked by a focus on economic reforms, infrastructure development, and welfare schemes. Her leadership and vision will be crucial in navigating the challenges posed by an economic slowdown and persistent inflation concerns. With India’s GDP growth slowing to 6.4% for FY24-25, Sitharaman faces a complex task of balancing fiscal prudence with the need for government spending, particularly in sectors like infrastructure and social welfare.

Mr. Tuhin Kanta Pandey: The Revenue Architect

Tuhin Kanta Pandey serves as the Finance and Revenue Secretary and is a key player in shaping the revenue and taxation aspects of the Union Budget. As a 1987-batch Indian Administrative Service (IAS) officer from Odisha, Pandey brings a wealth of experience to the table. He took charge as the Revenue Secretary in January 2025, just days before the budget presentation.

Pandey has a strong background in public finance and taxation, having previously served as the Secretary of the Department of Investment and Public Asset Management (DIPAM). His expertise in asset monetization, divestment, and revenue generation will be crucial as India faces challenges in raising revenue. One of his primary tasks will be to simplify the tax structure, making it more efficient and investor-friendly, while also ensuring adequate revenue collection to meet the government’s financial goals.

Mr. V Anantha Nageswaran: The Economic Visionary

V Anantha Nageswaran, the Chief Economic Adviser (CEA), plays a vital role in setting the macroeconomic backdrop for the Union Budget. Nageswaran, an alumnus of the Indian Institute of Management Ahmedabad, is responsible for preparing the Economic Survey, which is presented a day before the Union Budget. The Economic Survey outlines the state of various sectors in the Indian economy, such as agriculture, industry, and services, and provides key insights into the economic performance of the country.

The CEA’s team of economists, under Nageswaran’s leadership, assesses economic trends, forecasts growth, and suggests policy measures to address challenges. With Nageswaran’s tenure concluding in FY24, the Economic Survey and the Union Budget will reflect his expertise in crafting sound economic strategies, which are crucial in navigating India’s economic challenges, including inflation and slower growth.

Mr. Ajay Seth: The Economic Affairs Strategist

Ajay Seth, Secretary of the Department of Economic Affairs (DEA), plays a crucial role in overseeing macroeconomic stability and fiscal planning. A 1987-batch IAS officer from Karnataka, Seth has been instrumental in preparing the final budget documents. His department is responsible for managing India’s economic policies, including fiscal planning, inter-ministerial coordination, and policy formulation.

Seth’s key responsibilities include ensuring that the budget remains aligned with the country’s long-term economic goals, including promoting growth, managing inflation, and ensuring fiscal discipline. He has been actively involved in India’s infrastructure financing and is credited with the creation of the Infrastructure Finance Secretariat, which aims to promote the financing of infrastructure projects across the country.

Mr. Manoj Govil: The Expenditure Mastermind

Manoj Govil, the Expenditure Secretary, holds a critical position in managing the government’s expenditure. As an IIT Kanpur graduate with a PhD in Economics, Govil brings a deep understanding of public policy and fiscal management. His role focuses on approving new schemes, setting spending guidelines, and ensuring that the government’s expenditure aligns with the budget’s priorities.

Govil is tasked with rationalizing subsidies, boosting expenditures in key government schemes, and ensuring that resources are allocated effectively to meet India’s development goals. His experience in corporate affairs and public policy makes him well-suited to oversee the expenditure component of the Union Budget 2025.

Mr. M Nagaraju: The Financial Services Leader

M Nagaraju, Secretary of the Department of Financial Services (DFS), plays an important role in ensuring adequate credit flow and financial inclusion in India. As a 1993-batch IAS officer from Tripura, Nagaraju has a rich background in banking and financial services. He has also served as an advisor to the executive director at the World Bank, giving him a global perspective on financial services.

In the Union Budget 2025, Nagaraju will focus on ensuring that there is sufficient credit flow to various sectors of the economy, particularly in rural and underserved areas. He will also oversee the expansion of insurance coverage and deepening of digital interfaces in financial services, making them more accessible to a broader population. His department will play a key role in promoting fintech regulations and increasing the financial sector’s efficiency.

Mr. Arunish Chawla: The Asset Monetisation Expert

Arunish Chawla, the Secretary of the Department of Investment and Public Asset Management (DIPAM), joined the budget team in early January 2025. Chawla, a 1992-batch IAS officer from Bihar, brings extensive experience in asset management and public sector undertakings (PSUs). He is tasked with accelerating the divestment and asset monetisation programmes, which are crucial for raising funds and reducing the government’s fiscal burden.

Chawla will focus on overseeing the strategic sale of state-run assets, including the monetization of non-core assets held by PSUs. His expertise in asset management will be crucial in ensuring that these divestment efforts are successful and contribute to the financial stability of the government.

The Role of Senior Bureaucrats in the PMO

In addition to the key members of the Finance Ministry, several senior bureaucrats in the Prime Minister’s Office (PMO) play an integral role in the Union Budget preparation. These officials help drive policy matters, ensure alignment with the government’s broader economic goals, and facilitate smooth communication between the Finance Ministry and other government departments. Their role in shaping the budget reflects the collaborative nature of the budget preparation process.

The Budget-making Process: A Collaborative Effort

The Union Budget preparation process is a highly collaborative and intense exercise that spans several months. It begins with extensive consultations with industry leaders, economists, and various stakeholders from different sectors. Meetings with sector-specific analysts and policymakers help shape the budget’s priorities and ensure that it addresses the challenges facing the economy.

Once the budget document is prepared, it undergoes multiple rounds of revisions, with inputs from various departments, ministries, and senior officials. The final draft is then presented to the President of India before being unveiled in Parliament by the Finance Minister.

Conclusion

The Union Budget 2025 is the result of meticulous planning and collaboration among key officials. Led by Finance Minister Nirmala Sitharaman, the team, including various secretaries and advisors, plays a crucial role in shaping India’s fiscal policy. Their efforts are essential in managing resources and driving sustainable growth, especially as India faces economic challenges.