In its latest set of cash management measures, the government has removed spending curbs on defence services and fertilisers, while retaining the rest
Restrictions on Defence Ministry spending removed
As the Defence Ministry has forced to line up the purchase of ammunition and equipment through the emergency buying route amid the five-month long military standoff with China in eastern Ladakh, the Finance Ministry has moved to remove the curbs on capital outlay for defence services and revenue for defence services that were put in place due to Covid-19 during the current fiscal. A senior defence establishment source said that with the new development, there are “no restrictions on expenditure unlike” the first two quarters of this financial year. The source said that “not bound by quarterly expenditure plan now”, it “facilitates procurement”. In the current scenario, it “impacts all, operations, maintenance and sustenance”. In its latest set of cash management measures, the government has removed spending curbs on defence services and fertilisers, while retaining the restrictions for most other categories. According to a latest Finance Ministry order, for October-December, spending fo…
