Thiruvananthapuram: Finance minister K.M. Mani said that the state could witness a fiscal squeeze if additional resources to the tune of hundreds of crores were not mobilized in the coming fiscal. The finance minister said that the revenues had not increased as envisaged in the budget and expenditure had shot up far above estimates.
“Departments have been given instructions to urgently implement tax and non-tax revenue augmenting measures that have already been approved,” Mani said in the Assembly on Tuesday. Further, departments like Commercial Sales Tax, Registration, Revenue and Forest have been asked to consider the new revenue mobilization schemes that have been proposed.
Mani said departments had also been instructed to tighten their belts and drastically contain their expenditure. “Various departments have also been asked to expedite steps to collect revenue arrears,” he said.
The administrative sanction for various capital investment projects should not be given for over 150 percent of the budgeted amount.
As for non-plan expenditure, it should be contained within the budgeted figures. “Foreign travel of officials, unless it had already been sanctioned, will not be allowed. Purchase of new vehicles has also banned. If at all there is a requirement for an additional vehicle, it can be taken on rent,” the minister said.
There is a freeze on the creation of new posts, too. “The government has taken a stand that new posts should be created only in unavoidable situations,” the finance minister said.
As for the existing temporary vacancies, the minister said that a decision will be taken after examining the significance of these posts.
