Govt seeks Rs 2.81 lakh crore in supplementary grants

Finance Minister Nirmala Sitharaman defended the government's decision to table the second batch of Supplementary Demands for Grants for the fiscal year 2025-26 (ending March 31, 2026) in Parliament on March 10, 2026, seeking approval for gross additional expenditure of approximately Rs 2.81 lakh crore across 61 grants. In her address, Sitharaman emphasized that supplementary demands are a constitutional tool to provide flexibility for essential departmental and state requirements, rather than an indication of flawed initial budgeting.

She noted the government's intent to limit frequent amendments to minimize disruptions, while stressing that avoiding them entirely could appear inflexible or unresponsive—particularly when states or ministries seek critical funds. The proposal includes a net cash outgo of about Rs 2.01 lakh crore under 18 grants, with the remaining Rs 80,146 crore covered through technical supplements, savings from ministries, enhanced receipts, or recoveries across 32 grants. It also incorporates Rs 92 crore for recouping advances from the Contingency Fund of India.

Nirmala Sitharaman firmly reiterated the government's commitment to fiscal discipline, assuring Parliament that these additional provisions—whether cash or technical—would not derail the budgeted fiscal deficit target for FY26 as outlined in the original budget presentation. "We are not going to in any way not fulfill the word given in the budget," she affirmed, underscoring that the fiscal roadmap remains intact despite global volatility.