PrintFriendlyRs50,000-Rs75,000 crore per election cycle can be saved by implementing a one only election system in our country. Around 0.5-1% of estimated GDP loss, i.e. around Rs 2-3 lakh crore incurred per election cycle can be saved by re-instating a one election system in our country.
From Rs 10.5 crores election expenses (much of tax-payers money) for India’s first general election held in 1951-52 to Rs50,000+ crores election expenses made during the 2019 elections to Rs 1.35+ lakh crores of election expenses for 2024 election, the numbers are ballooning more than ever. And these are just the official election expenses. India’s 2019 Lok Sabha elections were the costliest in the world, more than $8 billion was spent, i.e. Rs 55,000 crore, surpassing the U.S. Presidential Elections (₹46,000 crore).
India’s multiple and frequent elections are a big financial burden on the economy. Organising election for a large country like India involves innumerable cost from government spending, election commission & security expenditure, printing & distribution of ballot papers, Electronic Voting Machines (EVMs & VVPATs, setting up polling stations & booths, staff salaries & training for election duty personnel to voter awareness campaigns, etc. It is estimated that the government spending for election commission expenditure is around Rs10,000-15,000 crore. Between 1998 and 2019 LS elections, in just 20 years, the election expenditure has gone up by around six times from Rs 9,000 crore to around Rs 55,000 crore. The 2024 Lok Sabha elections itself had a budget allocation of ₹1,400 crore, with a daily cost running into ₹50-100 crore.
The election related security costs include deployment of paramilitary forces and police across states, transport and logistics for security personnel, installation of CCTV cameras, drones, and monitoring systems. During the 2019 general elections, approximately 2 million paramilitary and police troops were deployed. The security cost that was around Rs 7,000 crore in 2019 went up to Rs10,000 crore in 2024. Elections cause strain on security resources and the nation’s security apparatus are heavily burdened by the regular forces for elections, besides taking these resources away from vital internal security tasks.
In the 2025-26 Union Budget, the Ministry of Law and Justice received over ₹1,400 crore to cover expenses related to the 2024 Lok Sabha elections. This allocation included Rs500 crore specifically for conducting the elections, Rs300 crore for voter identity cards, Rs 597.80 crore for other election-related expenses, additionally, Rs18.72 crore was designated for the procurement of new EVMs. From establishing polling places to moving EVMs, overseeing Voter Verifiable Paper Audit Trails (VVPATs), ECI bears significant expenses when holding elections. The ECI spent almost ₹6,000 crore on the 2019 Lok Sabha elections, a substantial increase from ₹3,870 crore in 2014 and ₹1,483 crore in 2009.
Besides, political parties and candidates’ spend approximately around Rs 80,000+ crore for multiple activities like campaign rallies, logistics, venue booking, crowd mobilization, food distribution, advertising and promotions, social media, print and TV ads, hoardings, rallies, digital marketing campaigns, door-to-door canvassing, vote mobilization, cash distribution,travel and helicopter expenses for leaders, voter incentives, unofficial cash payments, gifts, liquor, freebies to voters, etc.
Apart from these, there are other unaccounted cost such as working day loss cost. Each polling day is a paid holiday. And multiple elections for Lok Sabha, Vidhan Sabha, Municipality, panchayat leads to multiple polling days holidays. The estimated loss against each working day during election stands at Rs 1.6-1.8lakhs crores, in other words $18-22billion.
The election process in India, especially for the Lok Sabha and State Assembly elections, leads to a significant loss of government working days due to the enforcement of the Model Code of Conduct (MCC) and the deployment of government staff for election duties. Our Lok Sabha Elections (General Elections) are typically conducted in multiple phases over 6-8 weeks during which the MCC remains in force for around 2-3 months, affecting policy decisions and new government initiatives. Besides, government employees, including teachers, revenue officers, police personnel, and administrative staff, are deployed for election duties. The estimated working days loss is accounted to 45-60 days (1.5 to 2 months). The MCC-related economic impact stands at Rs5,000-10,000 crore per day.
Our State Assembly elections are conducted in one or multiple phases, depending on the state. The MCC is enforced for around 4-6 weeks. Government employees are deployed, causing delays in regular governance. The estimated working days loss is accounted to 30-45 days per election.
Our Local Body (Municipal & Panchayat) elections are usually conducted at the city, town, or village level. And here though fewer government employees are involved compared to national and state elections, yet still the estimated working days loss is not less than 15-30 days per election.
The cost of losing one working day during elections in India can be estimated by considering multiple economic factors, including GDP loss, government revenue loss, business disruptions, etc. India’s nominal GDP in 2023-24 was ₹307 lakh crore ($3.7 trillion). Assuming 250 working days per year, Rs1.23 lakh crore ($15 billion) is the estimated GDP loss per lost working day.
India’s total tax revenue for 2023-24 was ₹34.37 lakh crore. Taking into account daily tax revenue collection Rs13,750 crore ($1.65 billion) is lost in government tax revenue per lost working day.
Besides, business disruptions also happen during election. The Stock Market, NSE & BSE see daily trading volumes of Rs50,000-70,000 crore. For a holiday or shutdown disrupts transactions, the estimated business loss accounts for Rs 20,000-30,000 crore per election day.
To safeguard our country from the recurring high costs and economic disruptions caused by frequent elections, adopting a unified election cycle can lead to better resource allocation. The funds and administrative machinery currently diverted towards repeated elections could be redirected to essential development programs.
The One Nation, One Election (ONOE) system offers a strategic solution to mitigate economic losses and inefficiencies, ensuring greater financial savings and political stability. Beyond its economic benefits, ONOE can enhance governance efficiency by minimizing electoral disruptions, allowing policymakers to focus on long-term developmental goals rather than being caught in a constant election cycle.
By fostering economic stability and administrative efficiency, ONOE has the potential to be a transformative reform that can accelerate our nation’s faster progress.
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(The views expressed are the author's own and do not necessarily reflect the position of the organisation)
