Via which of the following, the Ministry of Finance is required to review every quarter the trends in Receipts and Expenditure in relation to the Budget and place it before both Houses of Parliament?
[A] Constitution of India
[B] Responsibility and Budget Management Act 2003
[C] Finance Acts of every year
[D] Order of President of India
Show Answer
Correct Answer: B [Responsibility and Budget Management Act 2003]
Notes:
Fiscal Responsibility and Budget Management (FRBM) Act, 2003 requires the Ministry of Finance to review every quarter the trends in Receipts and Expenditure in relation to the Budget and place it before both Houses of Parliament. As part of this exercise, the Economic Division of Department of Economic Affairs prepares the Mid-Year Review in the second quarter of each year for placing it before Parliament. In addition, at the end of first quarter and third quarter a Macro-Economic backdrop statement is prepared and provided to the Budget Division for incorporating in the review of quarterly receipts and expenditure
