FinMin starts exercise for interim Budget

The ministry asks central govt departments to come up with their demands by Friday

Gearing up for the presentation of interim Budget, the finance ministry has asked central government departments to come up with their demands by Friday. The third and final batch of supplementary demands for grants for 2013-2014 (excluding the railways) is proposed to be presented to Parliament in the coming Budget Session.

As the general elections are scheduled to be held by May 2014, the government would be presenting a vote-on-account or interim Budget, instead of the regular full-fledged Budget, ahead of the scheduled date of February 28. The regular Budget is likely to be presented by the new government sometime in July.

The finance ministry, in a communication to ministries, said: "Under no circumstances should the RE (revised estimate) ceilings be breached." While seeking supplementary grants, the ministries have been asked to ensure that the expenditure for 2013-14 has to be contained within the RE level.

"Instructions relating to 33 per cent and 15 per cent expenditure ceilings in the last quarter and last month, respectively, of the financial year may be scrupulously followed," it added.

Through the second batch of supplementary demands for grants, the government had got Parliament's nod for Rs 18,594.27 crore additional spending in the current financial year to meet expenditure, mainly towards petroleum and fertiliser subsidies.

The finance ministry said while processing proposals for supplementary grants, the grant controlling authority must invariably identify savings available within the grant so that the infructuous or inflated supplementary demands are weeded out and the eventuality of surrender after obtaining supplementary grant is avoided.