1 / 6On February 1, 2023, Finance Minister Nirmala Sitharaman will present the last full-fledged Union Budget of the Narendra Modi government ahead of the 2024 Lok Sabha elections. This will be her fifth straight Union Budget, and like the previous two budgets, the 2023-24 one would be delivered in paperless form. While some investors are optimistic of markets reacting in a positive manner this year, let’s take a look at how markets have reacted to budget announcements over the past five year. (image: Reuters)
2 / 6Budget 2018: The late Arun Jaitley, who was the then Finance Minister, presented his final budget on February 1, 2018. It was the first Union Budget post the implementation of the Goods and Services Tax (GST). The Budget did not generate positive sentiments and the Nifty declined by a mere 0.2% at close. However, the Nifty continued to decline, falling almost 6 percent in February 2018. (Image: Reuters)
3 / 6Budget 2019: The Budget was presented on July 5 and Nifty closed lower by 1.1%. It was the first Budget Speech for the first female Finance Minister of India (Nirmala Sitharaman). Nonetheless, it failed to bolster the market as there was no clarity on the announcements made by the acting finance minister in the interim budget.
4 / 6Budget 2020: Finance minister Nirmala Sitharaman presented her second Budget on February 1, 2020, but the market wasn’t enthused as the Nifty closed lower by 2.5% on budget day. (Image: Reuters)
5 / 6Budget 2021: Finance Minister Nirmala Sitharaman's third budget announcement definitely, boosted the market and the Nifty rallied 4.7%. This was the best budget day gain posted for the first time since 1999. (Image: Reuters)
6 / 6Budget 2022: In 2022, Finance Minister Nirmala Sitharaman delivered the budget and the Nifty rose 1.4 percent. This was the second that the Nifty gained on Budget day. (Image: Reuters)
