India Budget news: Finance Ministry seeks expenditure proposals for final supplementary demands for grants

The finance ministry has sought expenditure proposals for the second and final batch of Supplementary Demands for Grants from various ministries and departments ahead of the Budget session likely to commence in the last week of January.

This would be the last session of the 17th Lok Sabha before the general elections and the government would seek expenditure approvals of Parliament for four months till July 2024 through a vote on account.

The second batch of Supplementary Demands for Grants for 2023-24 is proposed to be placed before Parliament in the ensuing Budget session, the finance ministry said in an office memorandum.

The cases that would be eligible to be incorporated under such demands include those where advances from the Contingency Fund have been granted.

Besides, payments against court decree would be included as well as cases where the finance ministry has specifically advised moving the supplementary demand in the winter session, it said.

“While processing proposals for supplementary grants, the grant controlling authority must invariably identify savings within the grant so that the infructuous or inflated supplementary demands are weeded out and the eventuality of surrender after obtaining the supplementary grant is avoided,” it said.According to the memorandum dated December 29, the ministries are required to submit their supplementary proposals by January 8.The interim Budget 2024-25 is likely to be presented on February 1. The Budget approval process has been streamlined by the Government led by Prime Minister Narendra Modi for better utilisation of funds.

Previously, when the Budget was presented at the end of February, a three-stage Parliament approval process used to be completed sometime in mid-May, weeks ahead of the onset of monsoon rains.

This meant government departments would start spending on projects only from August-end or September after the monsoon season ended.

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