Policy

Ministries may not get more funds

Our Bureau New Delhi | Updated on July 21, 2011 Published on July 21, 2011




Barring a few Ministries, most are unlikely to get more money from the Finance Ministry in the first supplementary demand for grants.

The last day for all ministries to submit their demands was Wednesday.

The first supplementary demand for grants will be tabled during the monsoon session starting August 1. Usually, various Central Ministries' demands are more than what is allocated in the Budget for the first supplementary demand for grants.

The Finance Ministry has expressed its inability to provide funds for any new plan or scheme, sources said. If ministries want to spend more, they need to do so from their savings. If they want to use resources allocated under Plan for any Non-Plan item, they would need to get approval from the Planning Commission.

Though the Finance Ministry has said that it will be able to meet the tax target, there is severe pressure on resources. This is partly due to the duty revision on crude oil and various petroleum products, where the Government is estimated to lose approximately Rs 37,000 crore.

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Published on July 21, 2011
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