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Finance ministry tightens leash on official stay, travel expenses

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BS Reporter New Delhi
Last Updated : Jan 29 2013 | 2:34 AM IST

In a bid to cut costs of the central ministries and departments, the finance ministry has said that additional funds for travel expenses will not be provided despite the recent revision hiking travel and dearness allowance entitlements. The idea is to keep official expenses to a minimum at a time when the central government’s fiscal deficit for the first five months of the current fiscal stood at nearly 88 per cent of the budget estimate (Rs 133,287 crore) for the current year.

On October 1, the Department of Expenditure issued fresh directions, reiterating some of the austerity measures issued earlier this June, and asked all the central ministries and departments to ensure they opt for the cheapest airfare, preferably over the internet and also use corporate coupons for economy and business class travel.

Officers have also been encouraged, though not mandated, to travel by a class lower than their entitlements. “The final decision in this regard may be left with the concerned officers”, the office memorandum states.

Earlier on September 23, the government had decided that henceforth all mileage points earned by government employees on tickets purchased for official travel shall be utilised by the concerned department. However, these orders have been made applicable only to those mileage points earned after the date.

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