The Ministry is also preparing a proposal for the Cabinet to raise the ceiling of funds to be utilized for administrative expenses from the present 2% to 5% — this translates to Rs 753 crores annually. This comes after several states reported higher expenses on administrative expenditure. A Rural Ministry advisory sent to all Principal Secretaries advised that “due economy should be exercised and expenses on luxury items, purchase of vehicles, expensive furniture and furnishings should be avoided.’’
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