Nod to Rs 4,000-cr supplementary demandshttps://indianexpress.com/article/india/india-others/nod-to-rs-4-000cr-supplementary-demands/

Nod to Rs 4,000-cr supplementary demands

The Cabinet has given its approval to increase its budgetary allocations by Rs 4,000 crore through supplementary demands

The Cabinet has given its approval to increase its budgetary allocations by Rs 4,000 crore through supplementary demands. The government may,however,have to raise it further later,depending on the demands put forth by the departments.

“At the moment,the amount has been restricted to Rs 4,000 crore approximately. But the demands from various departments seeking higher allocations would force the government to loosen its purse strings further and raise the allocations up to Rs 8,500 crore in phases,” said a senior cabinet minister.

The government has been periodically adjusting its annual budget plans through supplementary demands,citing emergency expenses. According to the Ministry of Finance,the supplementary demand is a provision that the government can exercise to meet the financial requirements of its administration and public welfare schemes.

The monsoon session beginning Monday will see the government seeking approval from the House on the increased allocations required to carry forward the scheduled projects. The state government has cited unforeseen calamities responsible for the higher expenditure. The state plan size for 2013-14 approved by the Centre was approximately Rs 49,000 crore.

Chief Minister Prithviraj Chavan said: “The total expenditure in combating the drought this year amounted to Rs 5,500 crore.” This includes the funds received from

the Centre. There are indications that the Rs 4,000-crore supplementary demands may not be adequate to meet the overall demands placed before the CM from various departments.

However,the government is exercising caution not to overshoot its plan size on one hand and avoid

the Opposition’s criticism for periodically altering the budget plans on the other.

Leader of the Opposition in Assembly Eknath Khadse said: “It has become a recurring phenomenon for the Congress-NCP government to tamper with the finances. There is not a single session of state legislature where the government has not placed supplementary demands,thus exposing its poor planning.”

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According to state BJP president Devendra Fadnavis: “During the Budget Session,the government often tries to juggle with the statistics to show surplus budget. The entire exercise is carried out to show its fiscal discipline. But gradually,they bring supplementary demands,which often account for almost one-third of the total budget allocations.”