Thiruvananthapuram: With only a day remaining for the end of the current financial year, the Kerala government has revised the expenditure from plan allocation to 90 per cent of the original size.
The revision would lapse 10 per cent of the allocations to various departments, which would come to about Rs 2,000 crore.
The software, too, has been updated to prevent raising bills above 90 per cent of the plan size. The bills of those departments that have already spent more than 90 per cent will be cleared using the allocations for the financial year 2022-23.
The government's spending from plan allocations was 80.59 per cent on Tuesday. The finance department has informed all departments that the treasury will be accepting bills only till 5 pm on Wednesday.
Bills, submitted after the 5 pm deadline, will not be carried forward to the next financial year. The finance department's directive is likely to result in a flood of bills reaching the treasury.
The treasury has been unable to pass several bills for the want of vouchers. Several departments, despite submitting electronic bills, have not submitted physical vouchers to the treasury.
The government, meanwhile, borrowed Rs 4,000 crore from the Reserve Bank to meet the expenses till the end of the financial year on Thursday. The loan was availed promising to repay Rs 2,000 crore in 10 years at an interest rate of 7.31 per cent and the remaining in 15 years at an interest of 7.40 per cent, the highest after the March 22 borrowing at an interest rate of 7.42 per cent.