In an attempt to tide over the loss in revenue incurred on the state’s coffers owing to the novel coronavirus outbreak and the preceding lockdown, the Tamil Nadu government has decided to impose budget cuts on expenditures.

Estimates suggest that the projected expenditure of the state government for FY20-21 has been slashed by 50 per cent.

As part of this exercise, the daily allowance of state government employees will be slashed by 25 per cent, office expenses by 20 per cent. Also, the purchase of new furniture will be reduced by 50 per cent, while the budget for advertising, publicity and exhibitions has been slashed by 25 per cent. There is also a complete ban on the purchase of new vehicles, except for emergency vehicles.

In addition, the Tamil Nadu government has also decided to cut down on hospitality and entertainment expenditure by 50 per cent. Official lunches, dinners and other forms of entertainment funded by Public Sector Undertakings (PSUs), autonomous boards stand suspended until further orders.

There will also be a 25 per cent budget cut on the procurement of machinery and equipment, except for essential service during the FY20-21. Overall budget for fundamental training programmes has also been slashed by 50 per cent while departments have been asked to avoid any overseas training programmes.

Provision for printing charges incurred by state government offices has also been reduced by 25 per cent, while a 25 per cent cut has also been imposed on the amount allocated for the purchase of new electronic items. No department will be allowed to purchase any new computer systems or accessories, except for the replacement of very old or dysfunctional systems.

No employee will be allowed to undertake foreign travel at the expense of the Tamil Nadu government. Air travel within the state will not be permitted for employees unless the airfare is the same as that of the train. The government will also not bear the expenses of an employee taking a flight to another state.

Commissioners of Tamil Nadu House in New Delhi will be permitted to attend Government of India meetings in the national capital for now. However, no employee will be permitted to travel by air in executive class, regardless of the pay-grade.