In order to accommodate demand for more funds from key ministries in the next fiscal year, the Central Government is likely to make provisions in the upcoming budget to incorporate higher spending during 2008-09.

As per indications, while the Government is expected to peg the gross budgetary support (GBS) for the next financial year at Rs 2,40,000 crore, an additional provision of Rs 10,000 crore to accommodate social sectors schemes during the course of 2008-09 is also likely to be made.

Key schemes under health, education, rural development, and women & child development departments are expected to get more funds over and above the expected GBS of Rs 2,40,000 crore for Central schemes. The GBS works out to be around 60 per cent of the funds individual ministries had demanded. Some ministries may even be given less than 8 per cent hike in their budgetary allocation for the year. This is bound to upset some ministries.

With the provision that new schemes may also be announced during the course of budget preparation for which fund provisions have to be made, special mention could be made for schemes over and above the allocation under the GBS.

For instance, in education, while the Human Resource Development Ministry had sought funds to the tune of Rs 53,000 crore, the allocation that has been worked out stands at around Rs 33,000 crore. Even though this represents a hike of around 16 per cent, the Government may make a special announcement of around Rs 1000 crore for schemes such as the Sarva Siksha Abhiyaan (SSA).

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