NDA Govt. cuts non-Plan spending by 10%

 

The Finance Ministry on Thursday Oct 30,2014 ordered a mandatory 10 per cent cut in the Centre’s non-Plan expenditure for 2014-15.

The cut does not cover interest payment, repayment of debt, defence capital, salaries, pension or Finance Commission grants to States, says a circular.

Subsidies will face the brunt of the cuts.

Note
The UPA government too had in place austerity measures. For 2013-14, former Finance Minister P. Chidambaram rolled out cuts of 15 per cent on average across both Plan and non-Plan expenditures.