FM asks ministries to focus on priority sector schemes

Finance Minister Pranab Mukherjee today asked the financial advisors of different ministries to focus on the government's priority sector schemes and ensure that public expenditure remains within the budgetary limits in order to contain fiscal deficit.

"He has ... (asked) us that we should be careful and ensure that we spend on the priority sector rather than spending on the non-priority sector. That's the message," Sutanu Behuria, additional secretary and financial advisor in the Ministry of Commerce and Textiles told reporters after the meeting of financial advisors with Mukherjee.

The minister also underlined the need to keep public expenditure within the limits approved in the budget, he said, adding, the exercise is aimed at checking government borrowings and containing the fiscal deficit.

The government has pegged the fiscal deficit in the current year at 6.8 per cent of the Gross Domestic Product (GDP), up from 6.2 per cent in 2008-09.

The government would hold a review of the public expenditure in November, he said, adding "our job as financial advisor is to control expenditure." 

"The focus of the meeting was to keep the fiscal deficit in control," said Dipali Khanna, additional secretary and financial advisor in the Information and Broadcasting Ministry.

Mukherjee, she added, also asked the advisors to prioritise expenditure and concentrate on critical areas and make sure that expenditure is in control.