Placing restrictions on organizing State-funded workshops, seminars and events, the government has specified that not more than 12.5 percent of budgetary estimates shall be spent in the months of January, February and March (last three months of financial year 2015-16).
In directions issued on Friday, which can have pan-department ramifications, Finance Secretary Dr Sharat Chauhan specified that wherever possible non-plan expenditure may be reduced by 40 percent till March end, while in the months of February and March, the expenditure of each department should be limited to 8.3 percent of the budget estimate.
There is a ban on all foreign visits for study tours, seminars, conferences, workshops, including that of promotion of industry, trade, tourism, etc. However, foreign tours already approved are exempted from the directions.
Chauhan said that the all the departments have to follow the economic measures and rationalization of expenditures, in order to achieve the targets set in the Goa Fiscal Responsibility and Budget Management Act, 2006. “The measures for rationalization of expenditure are intended to cub necessary revenue expenditure and provide funds for development activities under Capital Account,” the circular states.
“It has been brought to the notice of the government that departments have the tendency of indulging in bulk purchases at the fag end of the financial year, in order to incur expenditure of unspent budgetary provisions allotted for the financial year,” Chauhan said.
“Most of the time, these provisions exceed the requirements which leads to wasteful expenditure by the departments,” he said. Till March end, government banned purchase of office infrastructure like furniture, computers, printers, telephones, office vehicles or cars or any other items.
“For the current financial year 2015-16, not more than 12.5 percent of the budgetary estimates shall be spent in the last three months of this FY and wherever possible non-plan side expenditure may be reduced by 40 percent till FY end. The monthly departmental expenditure in February and March should be limited to 8.3 percent and in no case should it exceed the limit prescribed,” the circular states. The monthly payment under the flagship social welfare schemes are exempted from the circular.
While curtailing expenditure on new purchases, the government has said that in February and March, payment should be made for goods, services undertaken in the previous month, like advance payments, payment to contractors, loans and advances.
