Skip to navigationSkip to content
India-Economy-Politics-Budget
AP Photo/Manish Swarup
Eye of the storm.
HISTORY IN THE MAKING

In photos: 70 years of Indian finance ministers presenting the budget

By Maria Thomas

Later today (Feb. 01), India’s finance minister Arun Jaitley will present the union budget to parliament. This will be the Narendra Modi government’s last budget before the 2019 general elections. It comes in the wake of several disruptive changes to Asia’s third-largest economy, most recently the goods and services tax regime that came into effect in July 2017.

The budget has always been a highly anticipated event in India, going back to when the country gained independence from the British. In November 1947, independent India’s first finance minister, RK Shanmukham Chetty, broadcast the first budget on the radio after presenting it to parliament. These days, however, the budget unfolds in real time on television and social media.

Here are the stories of some of India’s finance ministers and budgets through the years:

R K Shanmukham Chetty

Photo Division, Ministry of Information & Broadcasting, Government of India
India’s first finance minister, RK Shanmukham Chetty, broadcasting on All India Radio the budget he  presented in the Indian Parliament in November 1947. Chetty held the position until 1949.

Just a few months after the bloody events that followed the Partition, Chetty presented India’s first budget. In his speech (pdf), Chetty outlined the economic consequences of the division of the country, and the resulting refugee crisis. He highlighted concerns over the availability of food grains and rising prices at a time when agriculture made up for 70% of the economy. During his tenure, prices of essential commodities were decontrolled but this had to be reversed in a month as inflation spiked.

CD Deshmukh

Photo Division, Ministry of Information & Broadcasting, Government of India
CD Deshmukh glancing through the budget for the year 1954-55 before its presentation in parliament on Feb. 27, 1954.

In 1943, CD Deshmukh became the first Indian governor of the Reserve Bank of India, which had till then been headed by British men. He went on to represent the country at the landmark Bretton Woods conference a year later, before becoming finance minister in 1950. He is credited for his focus on creating the country’s irrigation infrastructure and his “Grow More Food Plan.” Over the following years, India witnessed an economic recovery, with an increase in food production and better availability of supplies, besides a fall in inflation. Deshmukh held the position of finance minister until 1956.

TT Krishnamachari

Photo Division, Ministry of Information & Broadcasting, Government of India
Krishnamachari with his budget for 1957-58 before presenting it in Parliament on May 15, 1957.

A close associate of India’s first prime minister, Jawaharlal Nehru, Krishnamachari was finance minister twice in the 1950s and 1960s. He’s remembered for being the first to impose a wealth tax and real estate duty in India, and these policies made him unpopular with right-wing politicians and industrialists, the New York Times noted after his death in 1974.

Morarji Desai

Photo Division, Ministry of Information & Broadcasting, Government of India
Morarji Desai giving the budget a final glance. He presented it to the Lok Sabha on Feb. 29, 1960.

The freedom fighter, Morarji Desai, presented the most number of union budgets—10 over two terms as finance minister between 1958 and 1963 and between 1967 and 1969. He went on to become the prime minister of India in 1977.

Manmohan Singh

Reuters/Sunil Malhotra
Manmohan Singh on the eve of India’s stop-gap budget which he presented on Feb. 28, 1996.

During his time as finance minister between 1991 and 1996, Manmohan Singh presided over a period of dramatic changes. His 1991 budget introduced watershed reforms that liberalised India’s economy and opened it up to the rest of the world, setting it on a course of rapid growth. Between 2004 and 2014, Singh served as the prime minister of India.

Yashwant Sinha

Reuters/Pawel Kopczynski
Yashwant Sinha giving his budget the final touches in his office, surrounded by his staff, on Feb.27, 2002.

In 1990, Yashwant Sinha briefly served as India’s finance minister, but it was during his second term, between 1998 and 2002, that he spearheaded a big change in the process of presenting the budget. For years, it was customarily presented to parliament at 5pm on the last day of February. This practice dated back to the colonial era and was designed for the convenience of lawmakers in the British House of Commons. But in February 1999, Sinha decided to present the budget at 11am, so that government officials and reporters could go through the documents during the day.

Jaswant Singh

Reuters/Kamal Kishore KK/SH
Jaswant Singh holds up the interim general budget to be presented to parliament on Feb. 03, 2004.

A veteran Bharatiya Janata Party (BJP) politician and a former army officer, Jaswant Singh served as India’s finance minister between 2002 and 2004, a period during which the country was battling slowing growth and a brutal drought. Under prime minister Atal Bihari Vajpayee, Singh held several other high-profile cabinet positions, including minister of defence and minister of external affairs.

P Chidambaram

G P Sharma/Photo Division, Ministry of Information & Broadcasting
P Chidambaram leaving North Block for Parliament House to present Budget 2008-09 on Feb. 29, 2008.

After Morarji Desai, P Chidambaram has presented the most number of budgets in India—nine, over three terms in the 1990s and 2000s. In 1997, Chidamabaram presented what was then dubbed the “dream budget” while serving under prime minister HD Deve Gowda. It is remembered for slashing the personal income tax rates that led to a surge in India’s income tax collections. He was also the first finance minister to include the proposal to move towards a unified goods and services tax in his budget speech in 2006.

Pranab Mukherjee

Manoj Kumar/Photo Division, Ministry of Information & Broadcasting
Pranab Mukherjee and his team leaving for parliament to present Budget 2011-12 on Feb. 28, 2011.

Pranab Mukherjee first served as finance minister in the 1980s under prime minister Indira Gandhi. He took the position once again in 2009 after serving as defence minister and then minister for external affairs under prime minister Manmohan Singh. He resigned from the position in 2012 after being selected as the United Progressive Alliance government’s candidate for the Indian presidency.

Arun Jaitley

EPA/Rajat Gupta
Arun Jaitley with the budget documents ahead of the 2017-18 budget on Feb. 01, 2017.

Jaitley has been India’s finance minister since 2014, when the Narendra Modi government came to power. Last year, he presided over several changes to the annual event, combining the country’s railway budget with the main budget for the first time in 92 years, and presenting it on the first day of February, instead of the last. This year, he’ll be presenting the fifth budget of his tenure on the morning of Feb. 01.