Approval from finance department now required for bills exceeding 500,000.
Thiruvananthapuram: The state govt on Wednesday tightened treasury control further by reducing the limit up to which the bills can be cleared without any restrictions from Rs 25 lakh to Rs 5 lakh. Thi...
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In Thiruvananthapuram, the state government has enforced stricter control over treasury operations by lowering the threshold for bill clearances without limitations from Rs 25 lakh to Rs 5 lakh. This new rule also impacts payments for local bodies, as they will now need approval from the finance department for bills exceeding Rs 5 lakh. This adjustment may create delays in the administration process, causing even small bills to await clearance. A notification on this treasury control update has been circulated to all treasury officers by the additional chief secretary of finance. Additionally, the Centre permitted the state government to borrow an extra Rs 4,200 crore to cover expenses during the Onam festival, out of the total borrowing limit of Rs 37,512 crore for the fiscal year. As the state faces financial challenges, concerns arise regarding meeting salary, pension, and outstanding bill obligations. To address this, the state government plans to scale back the State Plan to focus on essential projects due to the financial strain. A cabinet sub-committee has been formed to manage this revision.Submit the Plan expenditure.