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Sikkim govt rolls out austerity measures to tide over fiscal impact of COVID-19

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Press Trust of India Gangtok

The Prem Singh Tamang government

in Sikkim has decided to reduce the salaries of the chief minister and ministers by 35 per cent for the next one year to mitigate the adverse impact of the coronavirus pandemic on the state's economy.

As per decisions taken at a cabinet meeting presided over by the chief minister on Friday, utilisation of discretionary funds of the ministers have also been put on hold.

The state government has decided to impose a ban on appointments under regular/work-charged/muster roll/adhoc/consolidated pay/ temporary basis for six months, a press release issued by the Information and Public Relations department said.

 

The state government has also decided to impose a ban on replacement and purchase of new vehicles, computers and peripherals while the allocation under revenue expenditure in all departments will be curtailed by ten per cent.

Among other things, there will be restrictions on advertisement or publication of notice inviting tender except mandatory ones.

Restrictions have been imposed on conveyance allowance of all public servants while the grant of housing building advance will be deferred till further notice.

Official receptions in hotels or resorts have been banned while the transfer of funds to rural and urban local bodies other than salaries and honorariums stands deferred till further order.

The devolution of funds under the 5th State Finance Commission stands reduced by 10 per cent except grants recommended by the 15th Finance Commission.

No liabilities should be created without budget provision while no new scheme or work, including land acquisition, can be initiated till further order, the release said.

However, there will be no restriction on the implementation of centrally sponsored schemes, it said.

Disclaimer: No Business Standard Journalist was involved in creation of this content

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First Published: May 09 2020 | 6:16 PM IST

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