Finance department approval now mandatory for bills exceeding 5 lakhs.
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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Thiruvananthapuram: The state government has announced a tighter control over treasury operations by decreasing the limit for bill clearance without restrictions from Rs 25 lakh to Rs 5 lakh. This change also impacts local bodies, as they will now need approval from the finance department to clear bills exceeding Rs 5 lakh. This move may cause delays in processing payments, potentially leading to a slowdown in administrative operations. The additional chief secretary (finance) has circulated a letter to all treasury officers regarding these new restrictions. The Centre has allowed the state government to borrow an additional Rs 4,200 crore for Onam expenses, out of the total borrowing limit of Rs 37,512 crore for the fiscal year. With mounting financial challenges, concerns have arisen about meeting salary, pension obligations, pending bills, and arrears. To address these issues, the state government plans to reduce the State Plan to essential projects, following approval from a cabinet sub-committee.Submit the Plan expenditure.