Govt seeks more funds to boost economy
The government has sought Parliament’s nod for additional cash expenditure of Rs42,480 crore. The funds are being sought within a fortnight of the government announcing public spending of Rs20,000 crore and a cut in excise duty.
This has increased the total additional outlay for 2008-09 by Rs1,40,000 crore over the budgetary allocation of Rs7,50,000 crore. Irrigation and water resources programmes needs Rs2,400 crore, infrastructure development for small and medium towns requires Rs2,400 crore, while the integrated housing and slum development needs Rs500 crore.
The textile sector, which has been most hit by the slowdown, has an additional expenditure of Rs1,400 crore for modernisation of mills.