J&K Government goes for austerity measures to cut expenditure

SRINAGAR — In a significant move, the administration of Jammu & Kashmir Union Territory on Monday unveiled a slew of austerity measures for fiscal prudence.

The Finance Department today directed departments that the revenue expenditure should be limited to 30% of the revised budget allocation during the last fiscal of the ongoing fiscal.

“During the last quarter of the current financial year, the revenue expenditure should be limited to 30% of revised budget allocation and in the month of March, the expenditure should be limited to 15% of such allocation,” reads an order issued by the Finance Department, as per the news agency KNO.

The Finance Department said that in the last month of the ongoing fiscal, payments shall be made only for the works duly executed, and the goods and services already procured.

It also directed that a rush of expenditure on the procurement of goods and services should be avoided during the last month of the current financial year to ensure that codal procedures are complied with and there is no infructuous expenditure.

“Director Finance(s)/Financial Advisor(s) are advised to specially monitor this aspect in their respective departments,” the order states.

It also imposed a 10 per cent economy cut on the budget allocation for OE, LTC, POL, travel, advertisements, publicity, hospitality and sumptuary activities.

The government further directed that utmost economy shall be observed in organizing conferences, seminars and workshops. “Holding of exhibitions/fairs/seminars/conferences outside J&K is strongly discouraged,” the order states.

The government also imposed a complete ban on the holding of meetings and conferences at private hotels. “Government buildings/halls should be utilized for holding of meetings and conferences instead,” the order states.

The government also imposed a 10% economy cut on the budget allocation for the conduct of camps, conferences and seminars.

“Purchase of new vehicles is strictly discouraged. Exceptional cases for meeting critical operational requirements shall be permitted with a 20% reduction against condemnation as a replacement measure and with the concurrence of the Finance Department. The already condemned vehicles must be auctioned and auction proceeds deposited as miscellaneous revenue before submitting such a proposal,” the government said.

The government also said that travel expenditure should be regulated so as to ensure that each department remains within the revised allocated budget. “International travel shall not be allowed unless specific permission is granted by the Finance Department,” the government said.

It also imposed a 10% economy cut on the travel expenses budget allocation for 2023-24.

The government also said that there shall be a complete ban on the holding of official dinners and lunches, except those hosted by the Chief Secretary and Lieutenant Governor or with specific approval of the Lieutenant Governor.

It also said that no new posts shall be created and filling of regular posts may be undertaken only through JKSSB/JKPSC routes and with concurrence of the Finance Department.

“Posts that have remained vacant for more than two years should be identified for surrender. Such posts should not be revived except under rare and unavoidable circumstances and after seeking clearance from the Finance Department,” reads the order.