Union Health and Family Welfare Minister J.P. Nadda said here on Wednesday that the Rs. 6,000-crore cut in the Ministry’s budget because funds remained unutilised would not affect its flagship programmes or other schemes.
Mr. Nadda said the cut was a procedure followed by the Finance Ministry taking into account unutilised funds.
“No flagship programme is being affected by the cuts; there is no dearth of funds. What you call cuts, I see as under-utilisation” Mr. Nadda told presspersons.
Ties with StatesPointing out that spending of funds was the prerogative of the States, Mr. Nadda said the Centre was focussing on improving relations between the States and the Ministry to remove the bottlenecks in spending.
Media reports said the government had ordered a cut of nearly 20 per cent in its 2014-15 budgetary allocation for the health sector.
“In the last quarter, one level is marked. According to utilisation, assessment is done. What we will be spending in three months, that is also to be assessed. That takes place. The Ministry of Finance does that,” the Minister said.
“Although the word cut might have other impacts, I would like to think in terms of that whether we are able to utilise it [funds] or not,” he said.
Optimum utilisationAsked if the losses would be compensated in the budget, Mr. Nadda said there were no losses and the sector would get the funds required.
The Ministry had to improve on optimum utilisation of funds, he added.
Former Health and Family Welfare Minister Ghulam Nabi Azad had earlier said that any move towards slashing the budgetary allocation for the health sector would be shocking.
