BENGALURU: The Finance Department has issued a circular to all departments to prepare budget estimates for 2027-28.
The departments have been directed to follow the prescribed schedule. They have been told to submit realistic proposals and avoid demands for extra funds. This will be the first budget of DK Shivakumar as chief minister.
The Finance Department has directed the estimating officers to submit estimates to the heads of the departments and internal financial advisers. After scrutiny, the estimates will be sent to the Finance Department much before the deadline.
The circular stated that the departments should seek additional funds from the government within the first three months of the financial year for items that should have been anticipated while preparing the original budget. Therefore, the officials have been directed to assess their departments’ financial requirements accurately and prepare realistic estimates to avoid repeated requests for more funds.
Sources in the Finance Department said that a large portion of the budget goes for the government’s guarantee schemes. This is a burden on the state. With verification of beneficiaries, the allocation for the guarantee schemes is expected to come down in 2027-28.
The officials have been asked to prepare estimates after reviewing actual expenditure of previous years and subsequent revised estimates for 2026-27. The departments have been cautioned against seeking excessive allocation and subsequently approaching the government for additional funds soon after the financial year begins.
The circular has been sent to all additional chief secretaries, secretaries, regional commissioners, deputy commissioners, CEOs of zilla panchayats, internal financial advisors and other officials.
The Finance Department has set November 21 as the deadline to submit estimates. The guidelines cover salary and non-salary expenditure, grants-in-aid, loans and advances, scale-based schemes and other budgetary provisions.
The departments have been told to assess staffing requirements, vacancies and committed expenditure while preparing salary estimates. They have also been directed to send proposals for central and state-funded schemes.
