Appropriation Bill
Budget Process Intermediateविनियोग विधेयक
Definition
The Appropriation Bill authorises the government to withdraw funds from the Consolidated Fund of India for expenditure approved by Parliament through Demands for Grants. Without the Appropriation Act, the government cannot spend money even if Demands are voted. It is also a Money Bill.
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Why Appropriation Bill Matters
Understanding appropriation bill is essential for anyone following government finances, preparing for competitive exams, or analysing India's economic policy. This concept directly affects how the government allocates resources and plans its fiscal strategy.
In the context of India's Union Budget 2026-27, with a total size of Rs 53.47 lakh crore, terms like appropriation bill help citizens and analysts evaluate whether the government is on the right fiscal path. The numbers in the budget are only meaningful when one understands the underlying concepts.
For UPSC aspirants, appropriation bill is frequently tested in both Prelims and Mains, particularly in Paper III (Economic Development). For CA and MBA students, this concept appears in public finance and macroeconomics courses.
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