FinMin asks depts to take prior nod for spending

The move comes after the Centre's fiscal deficit at end-January was found to have overshot the revised estimate by 10%

The finance ministry has asked all departments to strictly follow its guidelines for cuts in non-plan expenditure.

The move comes after the  central government's fiscal deficit at end-January was found to have overshot the revised estimate for the full financial year by around 10 per cent, with two months still to go.

It has rapped various departments for not seeking prior permission to hold international and domestic conferences, and warned such expenditure might not get approved in the absence of advance sanction. It has reiterated the ban on holding meetings and conferences in five-star hotels.

The government has put in place measures aimed at cutting non-plan spending by 10 per cent. The ministry says proposals for approval of the expenditure secretary or cabinet secretary are to come at least a month in advance.

The instruction was issued after it was found that timelines for such requests were not adhered to and a large number of cases were being referred to the department of expenditure for post-event approval.

"This has been viewed very seriously...henceforth, delayed proposals will not be processed unless accompanied by a delay report," the ministry's letter says.