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Tuesday, September 8, 2009

Centre to cut spending by 10%

New Delhi, Sept. 7: With the economic downturn and severe drought putting pressure on its finances, the government on Monday ordered a 10 per cent cut in non-plan expenditure, slashing foreign and domestic travel, publicity expenses and a ban on conferences in five star hotels.
The mandatory 10 per cent cut in non-plan expenditure will include spending on publications, professional services, advertising and publicity, office expenses, petrol, oil, lubricants except for security related requirements and other administrative expenses.
The order issued by the department of expenditure comes into immediate effect. It said there was further need for economy and rationalisation of expenditure in view of the current fiscal situation and that arising out of insufficient rains in large parts of the country.
The order, however, does not say how much the

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