New Delhi: Ministers and bureaucrats, who have been travelling 'cattle class' for the past several months now, may cheer up as the austerity drive could end on March 31 when the order to cut expenditure in government departments expires.
The Office Memorandum issued by the Finance Ministry was valid for the fiscal 2009-10 and would not be applicable from April 1 unless a fresh order is issued extending it.
The memorandum was issued in September 2009 to cut expenditure in government departments in the wake of additional burden on the exchequer because of failure of Monsoon coupled with the economic crisis.
The memorandum had said, "In view of the current fiscal situation and that arising out of insufficient rain in large parts of the country, and the consequent pressure on Government’s resources, there is need for further economy and rationalisation of expenditure."
The order was applicable for every government departments, but ministers were specifically asked not to fly by business class but by economy class only.
Some ministers had objected to this directive but had to
fall in line as Finance Minister Pranab Mukherjee insisted
that the order be followed.
Minister of State for External Affairs Shashi Tharoor
even was sarcastic when he commented on Twitter that he had to
travel 'cattle class' because of the austerity drive.
A few ministers reportedly raised the issue again at the
Cabinet meeting held to approve the General Budget and were
told to wait till March-end.
The government is in a position of re-thinking on these
austerity measures, since fiscal deficit will be reined in
because of partial roll back of stimulus and increase in
excise and customs duties on petrol and diesel.
Besides, the economy has already been showing signs of
improvement, with industrial growth posting double digit
growth for the consecutive five months.
PTI
First Published: Sunday, March 14, 2010, 15:28