Now, approval from the finance department is required 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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In Thiruvananthapuram, the state government has strengthened treasury control measures by lowering the bill clearance limit from Rs 25 lakh to Rs 5 lakh. This change also affects local bodies' payments, as approval from the finance department will now be required for bills exceeding Rs 5 lakh. The decision may cause delays in bill clearance at the treasury, potentially bringing state operations to a standstill. A letter on the updated treasury control guidelines from the additional chief secretary (finance) has been circulated to all treasury officers. The Centre has permitted the state government to borrow an additional Rs 4,200 crore for Onam expenses, out of the total allowed borrowing of Rs 37,512 crore for the current financial year. With mounting financial challenges, the state finance department is grappling with meeting salary, pension, and pending bill obligations. In response to the financial strain, the state government plans to shrink the State Plan for the year, focusing only on essential projects. A cabinet sub-committee has been formed to oversee this resizing process.Adjust the Planned expenditure.