The annual Government Budget is prepared on a financial year (FY) basis. The FY for the Government runs from 1 April of one year to 31 March of the following year. For example, FY2011 is from 1 April 2011 to 31 March 2012.
The Budget serves two purposes:
a. It serves as a record of the approved levels of expenditure and accountability in the usage of government funds; and
b. It is also a plan of the estimated government revenue and expenditures for the FY.
Before the FY starts, the Minister for Finance would present the annual budget that has been approved by Cabinet to Parliament. This normally takes place in February. The budget debate and Committee of Supply sessions then follow, where Members of Parliament can query the Government on the expenditure of funds in the previous FY, as well as the proposed budget for the next FY, for the various ministries and organs of state.
After Parliament passes the Supply Bill, thus giving its approval of the budget, the President then needs to give his assent to the bill before it can come into effect. The President's role is to safeguard the past reserves of the nation, and he may withhold his assent to the Bill if, in his opinion, the estimated revenue and expenditure are likely to draw on Past Reserves.
Once the President gives his assent to the Supply Bill, it is then enacted as law as the Supply Act. The Act will then control the amount of money that the Government may spend in the coming FY, and for what purposes this money may be spent on.