Union Budget 2025: 10 Key terms you should know

Budget Estimates: It refers to the planned allocation of funds in the Budget for various ministries and schemes for the upcoming financial year.

Fiscal Deficit: It highlights the difference between the government’s total expenditure and its total receipts, excluding borrowings.

Capital Expenditure: It refers to funds for developing, acquiring or maintaining long-term assets like infrastructure, buildings, and equipment for economic development.

Finance Bill: This is a proposal introduced in the Lok Sabha to implement new tax measures or amend the existing tax structure.

Indirect Taxes: This refers to common taxes on goods and services, such as GST and customs duty, which is paid by the customers.

Consolidated Fund: This refers to the government’s primary account, which includes all revenues and expenditures requiring parliamentary approval for withdrawal.

Gross Domestic Product (GDP): This reflects the total monetary value of all goods and services produced within the country during a specific timeframe.

Inflation: This term measures the rate at which prices for goods and services rise over a certain period of time.

Goods and Services Tax (GST): This defines a comprehensive indirect tax imposed on the production, sale, and consumption of goods and services.

Fiscal Policy: This refers to the government’s approach to using taxes, public spending, and Public borrowing to achieve various objectives of economic policy.