The Centre on Friday sought Parliament’s approval for gross additional spending of over Rs 3.73 lakh crore in financial year 2021-’22, reported PTI.
Minister of State for Finance Pankaj Chaudhary tabled the the second batch of supplementary grants in the Lok Sabha. The net cash outgo would be over Rs 2.99 lakh crore and Rs 74,517 crore extra expenditure would be matched by savings by different ministries.
Of the total amount, Rs 62,057 crore would be given to the Union Ministry of Civil Aviation for infusing in the Air India Assets Holding Company directed towards repaying the former government’s guaranteed borrowing and past dues of Air India, reported Mint. Air India Assets Holding Company holds residual assets and liabilities of Air India.
An additional Rs 2,628 crore would be given towards loans and advances to Air India for reclaiming advance from Contingency Fund of India, a fund used for emergencies or unexpected outflows.
India had divested Air India and Tata Sons won the bid to acquire the debt-ridden airline for Rs 18,000 crore.
Further, Rs 43,430 crore would be used for providing indigenous and imported Phosphatic and Potassic subsidy and Rs 15,000 crore for urea subsidy scheme.
The Department of Food and Public Distribution would also get an additional Rs 49,805 crore for meeting its expenditure towards various schemes of food storage and warehousing.
Around Rs 2,400 crore would go the the Department of Commerce for meeting expenditure towards subsidies under its various schemes.
In the Union Budget, the government had projected the Centre’s expenditure at Rs 34.83 lakh crore. However, the projection overshot as this is the second time the government has sought Parliament’s approval for additional spending.
In August, the Centre had received Parliament’s approval for net additional spending of Rs 23,675 crore.