Govt seeks nod for Rs 11k-cr additional spend this fiscal
The Govt on Wednesday sought the Parliament’s approval for an extra spending of Rs 10,765 crore during the current fiscal, mainly to meet the additional spending arising from raised wages of government staff and to make payments to funding institu...
By ET Bureau |
NEW DELHI: The Govt on Wednesday sought the Parliament���s approval for an extra spending of Rs 10,765 crore during the current fiscal, mainly to meet the additional spending arising from raised wages of government staff and to make payments to funding institutions in the farm sector.
The government said a large part of the gross additional expenditure���Rs 4,60,951 crore���for which it sought the lower house���s nod, is matched by additional receipts, recoveries and savings by ministries. ���This is technical supplementary demands for grants, which does not involve cash outgo. This is on account of roll over of government debt (repayment at the end of the tenure and fresh borrowing). Although this transaction is technical in nature, the government has to keep the Parliament informed,��� explained a finance ministry official who asked not to be named.
The net cash spending would be utilised for meeting extra requirement of various government arms to implement the sixth pay commission recommendation on wage raise of government staff, compensation to state governments to introduce value added tax, administrative expenses and compensation to riot victims. The National Bank for Agriculture and Rural Development (NABARD) will get Rs 1,278 crore for its various schemes.
This is the third and final supplementary demand for grants for the current fiscal. Earlier, the Parliament had approved two supplementary demands for grants of Rs 1,05,612 crore and Rs 42,480 crore in last October and December, respectively.
The revised estimate for the fiscal outlined in the interim budget for 2009-10 is Rs 9,00,953 crore, which includes a small part of the third supplementary. All the three supplementary demands together takes the spending to Rs 9,09,741 crore, above the revised estimate of Rs 9,00,953 crore.
The government said a large part of the gross additional expenditure���Rs 4,60,951 crore���for which it sought the lower house���s nod, is matched by additional receipts, recoveries and savings by ministries. ���This is technical supplementary demands for grants, which does not involve cash outgo. This is on account of roll over of government debt (repayment at the end of the tenure and fresh borrowing). Although this transaction is technical in nature, the government has to keep the Parliament informed,��� explained a finance ministry official who asked not to be named.
The net cash spending would be utilised for meeting extra requirement of various government arms to implement the sixth pay commission recommendation on wage raise of government staff, compensation to state governments to introduce value added tax, administrative expenses and compensation to riot victims. The National Bank for Agriculture and Rural Development (NABARD) will get Rs 1,278 crore for its various schemes.
This is the third and final supplementary demand for grants for the current fiscal. Earlier, the Parliament had approved two supplementary demands for grants of Rs 1,05,612 crore and Rs 42,480 crore in last October and December, respectively.
The revised estimate for the fiscal outlined in the interim budget for 2009-10 is Rs 9,00,953 crore, which includes a small part of the third supplementary. All the three supplementary demands together takes the spending to Rs 9,09,741 crore, above the revised estimate of Rs 9,00,953 crore.
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