Government Seeks Parliamentary Approval for Additional ₹201,143 Crore Expenditure in Fiscal Year 2026

Government Seeks Parliament's Approval for Additional Net Cash Expenditure

The central government has submitted a second batch of supplementary demands for grants to Parliament, seeking approval for Rs 201,143 crore in additional net cash expenditure for FY26. The majority of the additional net cash outgo approvals are aimed at meeting higher expenditure on fertiliser subsidies (Rs 15,000 crore) and food subsidies (Rs 23,640 crore).

The government has also sought Rs 59,000 crore for the Economic Stabilization Fund (ESF), established in 2025-26 to address unexpected expenditure resulting from volatile global dynamics. Furthermore, Rs 30,000 crore will be transferred to states, and Rs 26,237 crore will be allocated for revenue expenditure by the defence ministry.

The total gross additional expenditure sought is Rs 281,289 crore, comprising Rs 201,142.96 crore in net cash outgo and Rs 80,145.71 crore in matched savings or enhanced receipts/recoveries. The latter, referred to as Technical Supplementary Demands for Grants, will not add to the fiscal deficit and requires only a budgetary rearrangement, which does not demand fresh, unbudgeted cash.

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