Chhattisgarh government cuts expenses by 30% after revenue falls

RAIPUR: A sharp decline in revenue receipts has forced the state govt to cut its spending by 30% for the current financial year. Now, the departments will be able to spend only 70 per cent of the allocated budget that to on priority basis.
The budget allocated to the departments for the financial year 2020-21 has been revised to the pre-approved limit of spending in four quarters of the year.
A circular to this effect has been issued by the additional chief secretary of the finance department to heads and principal secretaries of the respective departments.
As per the order issued by the finance department, the expenditure limit in the first quarter has revised to 10 per cent from 25 per cent, in the second quarter, the limit of expenditure has revised to 10 per cent from 15 per cent, to 20 per cent from 25 per cent for third quarter, and to 30 per cent from 35 per cent in the fourth quarter.
The circular states that the expenditure limit in the first quarter of the financial year will not be exceeded to 20 per cent of the total budget provision and the proposal will have to be submitted to the finance department with justification for relaxing this expenditure limit in case of excessive need. The finance department has been instructed that for departments overseeing construction, expenses should be according to priority works.