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Money wise: govt unveils steps to curb spending

Monthly expenditure plan sought from depts

PANAJI

With an eye on reining in expenditure, the Finance Department has asked all departments to draw up a monthly expenditure plan, including a 25% cut in non-plan expenditure.

In an internal office memorandum, issued by Finance Secretary Daulat Hawaldar, circulated among government departments, a copy of which is with The Goan, has said that the steps have been triggered to “effectively monitor the expenditure pattern as well as reduce the rush of expenditure during the last quarter, and more importantly, the last month of the financial year".

Among the conditions imposed by the finance secretary on the government departments includes a 25% cut in non-plan expenditure excluding interest payments, repayment of debt, payment of salaries and pension.

Besides this, not more than one fourth the budgetary estimates shall be spent in the last three months of this financial year, except under flagship schemes of the government. Further during the months of February and March, the expenditure of each department should be limited to 12 per cent of the budget estimates and cannot exceed the limit prescribed.

“This limit is to be enforced scheme-wise as well as for the demands for grants as a whole, subject to the additional provisions,” the memorandum reads.

Any expense beyond the monthly expenditure plan will now require the consent of the finance department and will be approved unless it is properly justified and submitted at least 10 days before the end of the month.

Further from January to March government departments have been barred from indulging in fresh expenses and payments should be made only for goods and services actually procured and other related expenses, in the previous months and reimbursement of expenses already incurred. However, payment to contractors to work orders already issued, loan schemes for government servants have been exempted.

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