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To control expense, finance dept orders to stop permissions for purchase and issuance of tenders after Feb 15

A government resolution dated January 17 directed departments that irrespective of administrative approvals before February 15, no tenders can be issued after this date.

Mumbai finance deptThe restrictions will be in place till March 31. (Express File Photo)

In a bid to control the expenditure on unnecessary and non-priority items as well as to control the cash flow of the estimated budget in last three months of the financial year, the Maharashtra finance department has ordered to stop giving permission to purchase orders after February 15 and asked to not issue tenders after this date.

The restrictions will be in place till March 31.

A government resolution dated January 17 directed departments that irrespective of administrative approvals before February 15, no tenders can be issued after this date. The GR has also disallowed expenditure for repair works of the existing furniture, computers, and photocopy machines, organising routine workshops and seminars by various state departments.

Following the announcement of a number of populist schemes prior to elections, especially the CM Majhi Ladki Bahin scheme whereby Rs 1,500 was being given to women below the poverty line every month, the fiscal deficit of the state has gone beyond Rs 1 lakh crore. Such measures are also meant to keep a check on the expenditure and save money.

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The order, however, has exempted the procurement of medicines by government hospitals and the ongoing schemes where funding comes from the Centre as well as the state.

It stated that the ongoing projects being funded by non-governmental agencies and foreign funding will be exempted from this ban.

“The government has noticed that a huge amount is spent during the last three months of the financial year. The state has thus decided not to give permission to any such procurement orders or proposals submitted to the finance department on and after 15 February,” the GR said.

An official from the finance department said that the directions are part of the routine process from the government and has nothing to do about measures to save money due to rising fiscal deficit. “Financial discipline is important. Several audit reports in the past have pointed out the hurry in expenditure of budget in last three months of the fiscal. This GR is part of the attempts to bring in that discipline,” said the official.

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