Srinagar: The Jammu and Kashmir administration has extended the restrictions regarding public expenditure for the second quarter in view of the Covid-19 pandemic and the resultant budget deficit situation.
In a latest order the government has notified that the guidelines vis-a-vis expenditure restrictions imposed in the month of April this year shall remain in force during the second quarter, Q2 (July-September, 2020) of the current financial year 2020-21 as well.
“The Departments are required to restrict the overall expenditure within 40% of Budget Estimates 2020-21 up to ending September, 2020 certain exceptions,” the order stated.
The order stated that the expenditure on all non-salary heads of revenue budget shall be restricted up to 20% of the Budget Estimates, 2020-21 for Q2 (July to September, 2020) with overall expenditure upto 40% of BE 2020-21 by ending September, 2020.
“The expenditure under Capex Budget in respect of ‘on-going’ works and ‘non-construction’ activities shall be restricted up to 40 % of BE 2020-21 by ending September, 2020 except in case of PW (R&B), Rural Development, Power Development and Jal Shakti Departments. These four Departments can incur expenditure upto 50% of BE 2020-21 by ending September, 2020and are also permitted to initiate works within full budget approved for the financial year 2020-21.”
As per the order there shall be no restriction in respect of items of expenditure within the overall authorisation of funds conveyed to the departments which include wages/honorarium/stipend/scholarship/compensation and beneficiary oriented schemes of social welfare and other departments, if any. —(KNO)