Gender equality is very important for development and it is also good economics. Despite some progress in reducing inequalities among men and women, still widespread inequalities between men and women exists. Gender budgeting has emerged as one of the very useful strategy for promoting the women empowerment and addressing inequalities. In the state of Rajasthan, officially gender budgeting was adopted in 2005-06 after the Chief Minister’s Budget Speech. In the same year, gender budget auditing was initiated in 6 departments and later-on scaled up to all 42 departments. An analysis of implementation of Gender Budgeting in Rajasthan shows that though the intentions were good, but implementation was not proper. Gender budgeting though is very important tool for gender mainstreaming however in order to be successful, it need to be properly designed, implemented and monitored. Also, having the leadership, technical expertise and accountability is very important. This will require the commitment from all stakeholders and sustained action to ensure that objective of Gender Equality is achieved.