define government budget

A government budget is an annual financial statement showing item wise estimates of expected revenue and anticipated expenditure during a fiscal year.
Budget has two parts:
(a) Receipts; and (b) Expenditure.
Importance of a budget:
(a) Today every country aims at its economic growth to improve living standard of its people. Besides, there are many other problems such as poverty, unemployment, inequalities in incomes and wealth etc. Government strives hard to solve these problems through budgetary measures.
(b) The budget shows the fiscal policy. Itemwise estimates of expenditure discloses how much and on what items, the government is going to spend. Similarly, itemwise details of government receipts indicate the sources from where the government intends to get money to finance the expenditure.