All key central schemes set for performance review next fiscal

New Delhi: The government will undertake a review of all central and centrally sponsored schemes in the upcoming fiscal, with emphasis on quality of spending, utilisation of funds and outcome of each scheme, a senior official said. The exercise-carried out every five years ahead of a new finance commission cycle-aims to phase out redundant schemes and optimise utilisation of funds.

The evaluation will cover many parameters, including whether a scheme is meeting its objective or overlapping with similar state-level schemes, "and also if smaller schemes can be merged or phased out," the official said.

The review will also focus on how states have performed in the implementation of the schemes, the person added.


As part of the process, the Department of Expenditure has sought suggestions from the nodal ministries implementing these schemes. "We have received some useful suggestions for social sector schemes," the official said.

The department has also asked the Niti Aayog to identify areas where states have schemes similar to centrally sponsored schemes (CSS).

The official think tank is likely to submit a report by April, with recommendations on the need to continue the schemes in their existing form, modify, scale up, scale down or close them down, before making a submission before the finance commission.

The expenditure department will consider feedbacks from the Aayog and various ministries before making a submission before the finance commission, the official said.

Flagship CSS programmes include the Ayushman Bharat - Pradhan Mantri Jan Arogya Yojana (PMJAY), the Mahatma Gandhi National Rural Employment Guarantee Act (MGNREGA), Pradhan Mantri Awas Yojna-Urban and PMAY-Gramin, Jal Jeevan Mission (JJM) and Pradhan Mantri Gram Sadak Yojna (PMGSY).

Prime Minister Narendra Modi in March 2015 constituted a sub-group of chief ministers on rationalisation of CSS and the number of schemes was brought down to 75 from 130.

The Centre has budgeted ₹5.41 lakh crore for CSS for 2025-26. In the current fiscal, the Centre had budgeted ₹5.05 lakh crore, which was later revised to ₹4.15 lakh crore.