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Govt seeks Rs 5032 cr extra spending

December 10, 2002 14:54 IST

The finance ministry sought parliamentary approval on Tuesday for Rs 50.32 billionĀ (Rs 5032 crore) in extra spending.

"Of this (supplementary demand), the proposals involving net cash outgo aggregate to Rs 50.32 billion," the finance ministry said in a supplementary demand for grants laid before Parliament.

Gross additional expenditure for the year to March 2003 will be Rs 90.45 billion (Rs 9045 crore), but Rs 40.12 billion (Rs 4012 crore) of that would be matched by savings of different departments or by enhanced receipts, the finance ministry said.

The additional expenditure includes a payment of Rs 4.38 billion (Rs 438 crore) to the Unit Trust of India for meeting a shortfall in its flagship scheme, US-64.

India has one of the largest fiscal deficits in the world. Last year, the deficit was 5.9 per cent of gross domestic product, higher than the targeted 4.7 per cent.

This year, the target is 5.3 per cent of GDP, but it is unlikely to be met due to a severe drought, which has entailed additional expenditure.

Source: REUTERS
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