Doulot Akter Mala The government has moved to increase the authority of spending on the part of the government offices after more than seven years in a bid to streamline their existing expenditure limit. The move is underway in line with the present economic context. The Finance Division under the ministry of finance (MoF) has taken the initiative to amend the 'delegation of financial power' rules to allow government ministries to increase the ceiling of public expenditure. The expenditure control wing of the division felt the necessity of amending the rules of financial power following several changes in the financial sector since 2005, said Jalal Ahmed, additional secretary (administration and expenditure control) of the finance division. "The rules need some amendments following Public Procurement Rules (PPR) and Public Procurement Act (PPA) as those came into effect after enforcing the delegation of power rules," he said. For public purchase and other matters the financial power of the public sector needs to be enhanced, he added. The Finance Division is yet to finalise the details of setting the limits of the financial power. Under the existing rules, there are 27 instructions and limits of expenditures set for the government offices. Any office that would exceed the limits has to obtain approval of the MoF. Cabinet ministers are entitled to get US$ 700 as refreshment cost and other expenditures while on overseas tours. For deputy ministers and state ministers the expenditure limit is $550, and for secretaries or acting secretaries the limit is $400 during overseas tours. However, the ministries or departments have to take approval of the MoF in case of exceeding the limit of the allowable expenditure. Expenditure-limit for purchase of stationery is Tk 0.1 million. The MoF has set Tk 25 per person or maximum Tk 600 as refreshment expenditures on hosting meetings of ministries or government departments. The ministries or departments can write off maximum Tk 0.5 million in financial losses caused by 'forgery or negligence' in office. The limit for such expenditures will be increased after amendment of the delegation of financial power. Meanwhile, the Finance Division has issued a set of austerity measures to rein in public expenditures. In a circular dated August 25 last, the expenditure control wing has set limit to purchase of Sedan cars to maximum 1500 cc and for jeep 2700 cc by the government offices. It also instructed the offices to be rational in selecting members for overseas tours. The MoF has imposed ban on erecting gates on arrival of VIPs.
Move to raise public expenditure ceiling
FE Team | Published: October 11, 2013 00:00:00 | Updated: February 01, 2018 00:00:00
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