Home » Sectors » Economy & Policy » Budget 2013: The Dope On Who Gets How Much

Budget 2013: The Dope On Who Gets How Much

Share with your friends










Submit
Views
2826

The Ministry of Finance, the Ministry of Defence and the Ministry of Consumer Affairs, Food and Public Distribution have been the top spenders.

 

So, what are the reasons driving the expenditure for these three ministries?

 

Ministry of Finance

 

 

graph 1-FINANCE MINISTRY

The expenditure of the Ministry of Finance hasrisen mostly due to the huge interest payments, grants, loans and advances to states and Union Territories (UTs) and investment in financial and trading institutions.

 

The big jump this year (Rs 9,300 crore) can be attributed to the compensation to be given out to state governments for revenue losses due to phasing out of Central Sales Tax.

 

An interesting increase this year is in the allocation of recurring grant to a special purpose vehicle (SPV) for Goods and Services Tax Network. It was Rs 1 crore in the Revised Estimates of 2012-13 but has now increased to Rs 100 crore in Budget 2013-14.

 

Ministry of Defence

 

GRAPH 2-DEFENCE MINISTRY

 

Capital outlay on Defence services, which accounts for the modernisation of arms and ammunition, is responsible for the steady rise in defence budget every year. In 2013-14, capital outlay was Rs 86,741 crore, an increase of Rs 7,162 crore (around 9%) from the Budget Estimates of 2012-13 (Rs 79,574 crore). Incidentally, the Revised Estimates for 2012-13 is Rs 69,579 crore, which suggests that funds remainunder-utilised.

 

Pensions for army, navy and air force personnel are another expenditure-driving factor for the Ministry of Defence. In 2013-14, Rs 44,500 crore is budgeted for pensions, which is an increase of Rs 5,000 crore (around 14%) over Rs 39,000 crore of the Budget 2012-13.

 

Ministry of Consumer Affairs, Food and Public Distribution

 

GRAPH 3-CONS AFFAIRS FOOD

The expenditure increment for the ministry is squarely dependent on the huge food subsidy given to Food Corporation of India (FCI), which has been increasing steadily over the years.

 

Here’s a look at the other ministries:
GRAPH 4-RURAL DEVELOPMENT

 

GRAPH 5-HRD

 

GRAPH 6-CHEMICALS

GRAPH 8-HOME AFFAIRS

 

GRAPH 9-PETROLEUM

 

GRAPH 9-HEALTH

 

 

GRAPH 10-ROADS

 

Leave a Reply

Your email address will not be published. Required fields are marked *

*