What is Economic Survey and why it is tabled a day before Budget?

On Monday, the opening day of the Budget Session, Union Finance Minister Nirmala Sitharaman will present the Economic Survey to Parliament. The Economic Survey is an annual report card on the economy that assesses the performance of each sector and then makes recommendations for future actions.

The survey will be presented shortly after President Ram Nath Kovind delivers his speech to both houses of Parliament.

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The Economic Survey is likely to be published in a single volume, estimating GDP growth of roughly 9% for the next fiscal year.

The document is usually prepared by the chief economic advisor (CEA), but this year it was done by the principal economic adviser and other officials because the position was empty after Krishnamurthy Subramaniam’s tenure expired in December.

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In recent years, the Economic Survey has been published in two volumes. The practice began when Arvind Subramaniam became CEA and it was carried on by his successor, KV Subramaniam.

However, because the CEA position is empty this year, the survey is expected to be in a single volume.

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The Economic Survey was presented alongside the Budget for more than a decade following India’s independence. The two were separated in 1964, and the Economic Survey was released ahead of schedule.

It is important to note that the government is not required to provide the survey, and the suggestions made in the first volume are not binding on the government.

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The Economic Survey is an estimate of the Gross Domestic Product (GDP) for the upcoming fiscal year, and it is among the most closely awaited data sets ahead of the budget. It provides critical insights into the country’s economic situation.

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According to the National Statistical Office’s (NSO’s) preliminary projections, India’s GDP would grow at 9.2% during the current fiscal year, which is somewhat below the Reserve Bank’s (RBI) projection of 9.5%.

Each Economic Survey has a theme. The topic last year was saving lives and livelihoods. The Economic Survey was pink in 2017-18 since the topic was women’s empowerment.