The Finance Secretary, regarded as the "first among equals" within the Ministry of Finance, plays a pivotal role in coordinating day-to-day functioning and steering the Union Budget preparation process. The post has remained vacant since the retirement of former Economic Affairs Secretary Ajay Seth on June 30, 2025. Seth, who was designated as Finance Secretary during his tenure, has since taken charge as the Chairman of the Insurance Regulatory and Development Authority of India (IRDAI).
Prior to Seth, Tuhin Kanta Pandey, then Revenue Secretary, had also been designated as the Finance Secretary, continuing the convention of entrusting the role to one of the senior-most departmental heads.
Despite the absence of a formally designated Finance Secretary, Finance Ministry sources have emphasised that Budget-related work is progressing smoothly. Officials note that it is "business as usual", with individual departments independently carrying out their responsibilities without any disruption.
Budget Work Progressing Across Key Departments
The core of Budget preparation involves extensive coordination among multiple departments. The Department of Economic Affairs and the Department of Expenditure play a central role in finalising expenditure and revenue estimates for various ministries and departments. At the same time, the Department of Revenue continues to focus on tax collection trends and policy proposals, which are critical inputs for the final Budget document.
Officials indicate that the absence of a Finance Secretary has not posed any operational challenges, as institutional mechanisms and inter-departmental processes remain firmly in place.
Largely New Team Assists FM in Ninth Union Budget
Finance Minister Nirmala Sitharaman is preparing her ninth Union Budget with a team that includes several new faces at the secretary level. However, a few key officials have provided continuity.
Financial Services Secretary M Nagaraju, DIPAM Secretary Arunish Chawla and Chief Economic Adviser V Anantha Nageswaran have continued in their roles and were also part of the team that worked on Union Budget 2025-26.
At the same time, three major departments now have new secretaries:
- Arvind Shrivastava as Revenue Secretary
- V Vualnam as Expenditure Secretary
- Anuradha Prasad as Economic Affairs Secretary
While new to their current roles, none of them are new to the Ministry of Finance.
Experienced Hands Despite New Appointments
Revenue Secretary Arvind Shrivastava, who previously served as Additional Secretary in the Prime Minister's Office, has earlier worked as Joint Secretary in the Budget Division of the Department of Economic Affairs, giving him direct exposure to Budget formulation.
Economic Affairs Secretary Anuradha Prasad (Thakur), earlier served as Additional Secretary in the Ministry of Corporate Affairs and has prior experience as Joint Secretary in DIPAM.
Expenditure Secretary V Vualnam has held several important positions, including Deputy Secretary in the Ministry of Finance and Company Affairs, and has also served as Advisor to the Executive Director at the World Bank, adding global exposure to fiscal management.
Key Developments in Tax Administration
On the taxation front, CBDT Chairman Ravi Agrawal, who has been in office since June 2024, has received a one-year extension till June 30, 2026. This extension will allow him to oversee both the Union Budget process and the crucial implementation of the new Income Tax Act.
Meanwhile, the Central Board of Indirect Taxes and Customs (CBIC) has seen a leadership change, with Vivek Chaturvedi, a 1990-batch IRS (Customs & Indirect Taxes) officer, taking charge as Chairman on December 1, 2025.
Continuity Amid Change
While the Finance Secretary's post remains unfilled, officials underline that the Ministry's experienced leadership and well-established systems are ensuring continuity in Budget preparation. With a mix of seasoned officials and new appointments, the Finance Ministry appears well-positioned to deliver the upcoming Union Budget without administrative disruption.
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