GK Questions With Answers On Union Budget

The Union Budget 2025 will be presented on 1 February 2025 as part of the Parliament’s Budget session, which commences on  31 January 2025. The Union Budget 2025, to be presented by Finance Minister Nirmala Sitharaman, will mark her record eighth Budget. Last week, the traditional Halwa Ceremony was conducted at the North Block, after which the officials involved in the Budget preparation entered a quarantine-like "lock-in period" to ensure the utmost confidentiality and prevent any leaks. , 

Did you know? Another unique tradition surrounding the Union Budget is the Halwa Ceremony, which takes place just before the final Budget is presented. This ceremony marks the beginning of a period of secrecy known as the "lock-in period." During this time, all officials working on the Budget are required to stay in complete isolation within the Finance Ministry premises, ensuring that no details of the Budget leak before its official presentation. The lock-in period lasts until the Finance Minister delivers the Budget speech in Parliament, underscoring the importance of maintaining confidentiality during the critical final stages of the Budget process. 

Union Budget 2025: What Is Halwa Ceremony? Why Is It Important?

GK Questions With Answers On Union Budget 

The Union Budget is an important subject in competitive exams, covering key facts like the presentation date, finance ministers, and historical changes in its process. Let’s test your knowledge about the Union Budget with a few GK questions! 

Q1: India's first-ever Budget was announced on 7 April 1860, in pre-independent India. Who had presented it to the British Crown? 

(A) Robert Clive

(B) Lord Mountbatten

(C) King George V

(D) James Wilson 

Answer:  (D) James Wilson 

Explanation: James Wilson, a Scottish economist and politician, presented India's first-ever Budget to the British Crown on April 7, 1860. Wilson was a key figure in establishing the Indian taxation system and also founded The Economist magazine. 

Q2: In which year did the Indian Railways Budget and the Union Budget get merged?

(A) 2015

(B) 2016

(C) 2017

(D) 2018 

Answer: (C) 2017

Explanation: The Railways Budget was merged with the Union Budget in 2017 by Arun Jaitley to streamline the budgetary process and reduce redundancy. 

Q3: Who holds the record of presenting the most number of Budgets in the history of India? 

(A) Moraraji Desai

(B) Indira Gandhi

(C) Nirmala Sitharaman

(D) Pranab Mukherjee 

Answer: (A) Morarji Desai

Explanation: Morarji Desai, who served as India's Finance Minister and later as Prime Minister, holds the record for presenting the most number of Union Budgets in Indian history. He delivered 10 Budgets during his tenure, including five annual Budgets and two Interim Budgets, showcasing his significant contributions to India's fiscal policy. 

Q4: The shortest Budget speech had only 800 words and was delivered in 1977. Who was it delivered by? 

(A) Chandra Shekhar

(B) Hirubhai Mulljibhai Patel

(C) VP Singh

(D) Madhu Dhanwate 

Answer: (B) Hirubhai Mulljibhai Patel 

Explanation: Hirubhai Mulljibhai Patel delivered the shortest Budget speech in Indian history in 1977. It comprised only 800 words, highlighting essential points concisely. 

Q5: The first Union Budget of independent India was presented on November 26, 1947. Who was the finance minister to present it?

(A) Jawaharlal Nehru

(B) RK Shanmukham Chetty

(C) CD Deshmukh

(D) Morarji Desai 

Answer: (B) RK Shanmukham Chetty

Explanation: RK Shanmukham Chetty presented India's first Union Budget after independence, outlining the country's financial plans post-independence. 

Q6: The Economic Survey is presented before the Union Budget. When was the first Economic Survey released?

(A) 1950

(B) 1961

(C) 1972

(D) 1991 

Answer: (B) 1961

Explanation: The Economic Survey, detailing the economic developments of the previous year, was first released in 1961. 

Q7: The longest Budget speech in history, lasting 2 hours and 42 minutes, was delivered by whom?

(A) Nirmala Sitharaman

(B) Arun Jaitley

(C) Pranab Mukherjee

(D) Manmohan Singh 

Answer: (A) Nirmala Sitharaman

Explanation: Nirmala Sitharaman delivered the longest-ever Budget speech in 2020, though it was cut short due to health reasons. 

Q8: The Union Budget for the financial year is referred to as what under the Constitution of India?

(A) Fiscal Plan

(B) Revenue Budget

(C) Annual Financial Statement

(D) Expenditure Report 

Answer: (C) Annual Financial Statement

Explanation: Article 112 of the Indian Constitution refers to the Union Budget as the Annual Financial Statement. 

Q9: Which finance minister introduced the service tax in the Union Budget?

(A) P Chidambaram

(B) Manmohan Singh

(C) Yashwant Sinha

(D) Pranab Mukherjee 

Answer: (C) Yashwant Sinha

Explanation: Service tax was introduced by Yashwant Sinha in the 1994-95 Budget to expand the tax base. 

Q10: Which finance minister is credited with presenting India’s landmark 1991 Union Budget that ushered in economic liberalization?

(A) Pranab Mukherjee

(B) Manmohan Singh

(C) PV Narasimha Rao

(D) Yashwant Sinha 

Answer: (B) Manmohan Singh

Explanation: As the finance minister under PM PV Narasimha Rao, Manmohan Singh presented the 1991 Budget, introducing economic reforms and liberalization.

Also read: GK Questions with Answers on Maha Kumbh