Lok Sabha Question No. 1951 (UNSTARRED), answered on 2022-03-14
Subject: Allocation and Utilisation of Funds
Ministry: FINANCE
Asked by: Sandhya Ray, Dhal Singh Bisen, Ramapati Ram Tripathi

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF EXPENDITURE

## LOK SABHA UNSTARRED QUESTION NO. 1951

TO BE ANSWERED ON MONDAY, MARCH 14, 2022/PHALGUNA 23, 1943 (SAKA)

## Allocation and Utilisation of Funds

## 1951. SHRIMATI SANDHYA RAY DR. DHAL SINGH BISEN DR. RAMAPATI RAM TRIPATHI

Will the Minister of FINANCE be pleased to state:

- (a) the details of funds allocated/provided by the Union Government to the States including Madhya Pradesh and  Uttar  Pradesh  for  development  of  various  schemes  during  the  last  five  years,  year-wise  and department-wise;
- (b) whether the said funds have been utilised by the States including Madhya Pradesh and Uttar Pradesh;
- (c) if so, the details of funds received, spent and the unspent amount during the said period, year/ department/ item-wise;
- (d) whether the Government has an existing auditing mechanism to look into the amount of funds utilized so far and if so, the details thereof along with the reasons for non-utilization the unspent funds; and
- (e) the steps taken by the Government to ensure timely utilization of the entire funds by the States?

## ANSWER

## MINISTER OF STATE FOR FINANCE (SHRI PANKAJ CHAUDHARY)

(a): The  Union  Government  provides  resources  to  States  including  the  States  of  Madhya  Pradesh  and  Uttar Pradesh  through  Ministries/Departments  under  the  heads  Tax  Devolution,  Finance  Commission  Transfers, Centrally  Sponsored  Schemes  (CSS),  Central  Sector  Schemes  (CS),  ACA  for  EAPs,  Special  Assistance  etc. Summarized details  of 'Transfer  of  Resources  to  States'  during  the  last  five  years  2016-17  to  2020-21  are  as follows:

(Rs. in crore)

| Sl. No.   | Items                                        | 2016-17   | 2017-18   | 2018-19   | 2019-20   | 2020-21   |
|-----------|----------------------------------------------|-----------|-----------|-----------|-----------|-----------|
| 1         | Tax Devolution to States                     | 608000    | 673005    | 761454    | 650678    | 594997    |
| 2         | Transfers to States excluding Tax Devolution | 372562    | 408292    | 425985    | 466648    | 674389    |
|           | Of which                                     |           |           |           |           |           |
| (a)       | Centrally Sponsored Scheme                   | 225848    | 262043    | 271478    | 275428    | 308306    |
| (b)       | Central Sector Schemes                       | 2407      | 15964     | 13629     | 12864     | 16143     |
| (c)       | Finance Commission Transfers                 | 95550     | 92244     | 93704     | 123710    | 184063    |

Source: Union Budgets 2018-19 to 2022-23

(b)  to  (e): As  per  the  extant  practice,  release  of  funds  to  the  States  under  various  programmes  including Schemes/Programmes  mandated  by  the  Finance  Commission  are  governed  by  prescribed  guidelines  of  the respective  Schemes/Programmes,  submission  of  Utilization  Certificates  for  funds  released  as  per  General Financial Rules (GFRs) and funds that remain unutilized are adjusted towards the Grants-in-Aid payable during the next years. The Ministries/Departments of the Union Government conduct regular evaluation of the Schemes being implemented by them. The NITI Aayog also conducts concurrent evaluation of the selected Programmes/Schemes.

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