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Govt presents first batch of supplementary demand for grants: An explainer

The demand is to spend an additional Rs 2.36 trillion in FY21

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From the announced Rs 2.36 trillion, about 70 per cent, or Rs 1.67 trillion is the “net cash outgo” for the Centre

Abhishek Waghmare Pune
The Centre has presented to Parliament its first batch of supplementary demand for financial grants to be made to various depart­ments. The demand is to spend an additional Rs 2.36 trillion in FY21. 

The Centre presents its annual spending plan two months ahead of the beginning of a new fiscal year. But as the year progresses, the government takes stock of the spending done, the amount that remains to be spent, and considers the new requirements that demand a bigger sum than originally planned. While doing this, it also includes those departments who no longer need the money they had been