The Bank Or The Ballot?

Nirmala Sitharaman's interim budget could take the fiscal prudence highway, or it could choose the freeway to voter satisfaction

- K. SUNIL THOMAS

DANCING TO ‘NAATU NAATU’ in Singapore is surely not out of the scheme of things, considering the city state’s huge diaspora. But when Simon Wong, Singapore’s high commissioner to India, expressed a desire to do so to Union Finance Minister Nirmala Sitharaman recently, he was referring to a very specific wish—with India being the ‘biggest bright spot’ in the world economy, will there be another super-charged budget that will have the markets and global investors dancing away?

Sitharaman did not give in to the temptation to open up. “I am not going to play spoilsport, but it is a matter of truth that the budget will just be a vote-on-account because we will be in election mode.” Her reply, made at the Global Economic Policy Summit in Delhi, set tongues wagging.

Hazaaron Khwaishein Aisi (A thousand wishes like this)

Although Sitharaman tried to tell the world there would be “no spectacular announcement” in the interim budget she will present on February 1, it has not stopped India’s economy and business from looking forward to big-ticket announcements. Called a ‘vote-on account’ as per British tradition, an interim budget presented by an outgoing government on the eve of elections is aimed at meeting expenditure for a few months till the new government comes in after the polls and issues a budget based on its own policy objectives.