Stormy session likely: All eyes on Union Budget as Parliament braces for heated debates on economy, foreign policy

An analysis by PRS Legislative Research will fuel the debate, revealing major gaps between government claims and reality on key schemes

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The Budget session of Parliament will begin on Wednesday with the address of President Droupadi Murmu to a joint sitting of the Lok Sabha and the Rajya Sabha. The session is expected to be a stormy one as the Opposition parties may raise issues related to the economy, foreign policy, federal issues and governance.

The session will be held in two parts. The first phase will run from January 28 to February 13 and will include the Motion of Thanks on the President’s address and discussion on the Union Budget, to be presented on February 1. After a recess, Parliament will reconvene on March 9, with the session concluding on April 2.

The government enters the session with a high after signing the “mother of all deals” with the European Union. The issue is likely to feature in the session as the government may make a statement on the subject, while the Opposition is expected to demand more clarity. In fact, the emerging geopolitical situation is also set to be raised inside the House.

The main Opposition party, Congress, hit out at the government for not revealing its legislative agenda even a day before the Session. Congress MP Pramod Tiwari accused the government of weakening constitutional institutions.  “This government is completely eliminating constitutionally guaranteed rights. It is weakening constitutional institutions,” he said, adding that the Opposition would also raise questions on foreign policy, the economy, pollution and public health.

Left parties said they would seek discussions on foreign policy and voter list revisions. CPI(M) MP John Brittas alleged “mass disenfranchisement of voters”, claiming that in Kerala “15 per cent voters have been deleted.”

The MPs from different parties expressed their views at the all-party meeting called by the government. It was chaired by Defence Minister Rajnath Singh, with Parliamentary Affairs Minister Kiren Rijiju among those present.

NDA ally and Telugu Desam Party MP Lavu Sri Krishna Devarayalu demanded a discussion in the Lok Sabha on India’s free trade agreement.

A non-aligned party, the Biju Janata Dal, said it would raise agrarian distress and law and order concerns in Odisha.

Among other things, the issue of UGC rules, which has sparked off protests in Uttar Pradesh, especially by the upper castes, may also feature in the House.

However, the big moment of this session would be the Budget presentation by Finance Minister Nirmala Sitharaman. All eyes will be on her to see how she balances the fiscal issues with the political as polls are to be held this year in five states. The BJP is hoping for a good show in these states.

Meanwhile, an assessment by PRS Legislative Research of last year’s President’s address is expected to sharpen the debate during the Motion of Thanks.

On internal security, PRS noted that Left-wing Extremism-related incidents declined by 89 per cent between 2010 and 2025. On defence, the analysis pointed to rising defence exports, increased indigenous production, and a growing reliance on domestic sources to fund defence modernisation.

On employment, PRS reviewed the Prime Minister’s Internship Scheme launched in 2024–25, which aims to provide one crore internships over five years. It found that only about 20 per cent of over 1.6 lakh offers made across two rounds were accepted, and that 52 per cent of candidates selected in the first round dropped out before completing their internships.

On pensions, PRS flagged a gap between claims and uptake. While the President said the Unified Pension Scheme had been widely welcomed, only 1.2 lakh of about 23 lakh central government employees, or 5.2 per cent, have opted for it so far. The scheme combines features of the Old Pension Scheme and the National Pension System, but increases the Centre’s contribution to pension payouts.

On the economy, PRS noted that while GST collections touched about ₹20 lakh crore in 2024–25, GST revenue as a proportion of GDP remains lower than in the pre-GST regime.