Finance ministry to cut non plan expenditure by 10 percent

Finance ministry asked all ministries to cut non plan expenditure by 10 percent. After discussing with the PM, the FM asked to cut expenditure in these segments.
A. Expenditure on tour in India and abroad.
B. Publication.
C. Professional service.
D. Advertisement and publicity.
E. Office expenses.
F. Other expenses other than security.
G. Other administrative expenses.

No seminar, exhibitions can be arranged abroad except in the need of earning income. There should not be any meeting in 5 star hotel. All Govt. officers, irrespective of there status will have to fly in the economy class. Air travel should be minimum. No new vehicle to be purchased except those required in security organizations. Expenses to be cut in telephone and IT usage also. According to experts, Govt had fewer alternatives but to be strict in this regard due to recession and drought like situation in the country.

Ms Susma Nath, Secy, Expenditure issued this notification and it is assumed that strict implementation may save upto Rs 4000 crores. All ministries will have to submit compliance report in this regard quarterly.

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