2 months ago
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The Parliamentary Standing Committee connected Finance pulled up the Ministry of Planning for not “planning” its finances better. The committee recovered that contempt spending little than fractional of the fund allocated to it, the Ministry was allocated ever-higher amounts implicit the past 3 fiscal years.
In its latest study tabled successful the Lok Sabha connected Tuesday (March 17, 2026), the committee called for “more realistic” readying and fiscal absorption by the Ministry. The government’s nodal think-tank, the Niti Aayog, operates done the Ministry.
The committee besides noted “flaws successful planning” by Niti Aayog erstwhile it comes to its finances.
Continuous under-utilisation
“After wide scrutiny of estimates, allocations and utilisation of the fund grants during fiscal years nether reference, the Committee are of the presumption that determination has been continuous underutilisation of the earmarked funds by the Ministry of Planning,” the Standing Committee’s study said.
The committee noted that the Ministry sought ₹1,203.38 crore of funds for the upcoming fiscal twelvemonth 2026-27, which is astir 22% higher than the ₹1,006.06 crore arsenic per the Budget Estimates (BE) for 2025-26.
“However, the Actuals for the FY 2023-24 were astatine ₹290.81 crore against a BE of ₹824.39 crore, which is astir 35% of the BE,” the committee noted. “Likewise, the Actuals for the FY 2024-25 were lone ₹282.61 crore only, against a BE of ₹837.26 crore i.e. conscionable astir 34% successful percent terms.”
The committee noted that this concern seems to person improved successful 2025-26 but besides said that the existent utilisation magnitude is lone somewhat much than fractional the magnitude budgeted.
“With lone a constrictive model of 2 months remaining successful the FY nether reference, the Committee are not precise optimistic,” it added.
Higher budgets each year
The committee said that contempt this continuous under-utilisation, the BE of the Ministry grew 20% and 22%, respectively, successful the preceding years.
“The Committee successful their erstwhile reports person clip and again emphasised the request for much realistic readying and fiscal absorption for optimal usage of disposable fiscal resources,” the study said. “The Committee truthful powerfully urge Ministry of Planning to guarantee that 2026-27 fund is utilised efficaciously and to debar immoderate idling and blocking of funds successful the non-responsive Heads.”
“The Committee anticipation that the Ministry of Planning would beryllium much fiscally prudent successful appraisal of their projected expenditure and targets successful the future,” it added.
“Dismal implementation”
The committee said that its investigation of Niti Aayog’s Quarterly Expenditure Plan (QEP) reveals a “persistent and significant” underutilisation. The information successful the study shows that, successful 2023-24 and 2024-25, existent spending was astir 35% and 33% of the full BE, respectively.
“This indicates flaws successful readying arsenic determination is dismal implementation of the plans connected the ground,” the Committee said. “While FY 2025-26 shows a affirmative inclination with improved utilisation (56.46%), the surge successful Q4 expenditure remains a concern.”
It said that a projected spending of ₹139.17 crore successful Q4 of 2025-26 “appears to beryllium a disproportionate unreserved to exhaust funds”, and besides risks violating the Central government’s 15% monthly spending cap.
“The Committee are of the steadfast presumption that determination is request to adhere to strict Quarterly Expenditure Percentage norms and NITI Aayog should behaviour interior reviews to synchronise administrative sanctions with the QEP,” the study said. “It should besides beryllium ensured that the archetypal 2 quarters are earmarked not little than 50% of the fiscal targets.”
