
New Delhi, Aug. 19 -- The Delhi government has set in motion the process of preparing its Budget for 2026-27, directing all departments to submit their financial estimates by the last week of August. Officials confirmed that the finance department has issued a circular mandating timely submission of both revised estimates for the ongoing financial year (2025-26) and fresh Budget estimates for 2026-27.
According to the circular, departments have been instructed to send their proposals to the director (budget), finance department, no later than August 25. The government has further scheduled pre-Budget and revised estimate meetings beginning the first week of September, where allocations and requirements will be reviewed in detail.
The Finance department has emphasised the need for a "realistic assessment" of fund requirements to ensure proper utilisation during the financial year. "It has been observed that the actual expenditure incurred often falls short of the original Budget estimates, raising questions about the accuracy of projections," the circular stated.
Audits conducted in recent years have highlighted multiple concerns. These include instances of departments raising supplementary demands without sufficient justification, and cases where funds were re-appropriated despite the original allocations remaining underutilised. The government also flagged situations where expenditure at the end of the financial year either exceeded or fell significantly short of the approved Budget provisions.
In a bid to address these irregularities, departments have been reminded that their Budget proposals must undergo scrutiny by the integrated financial advisors (IFAs) assigned to them. The role of the IFAs will be to ensure proper accounting classifications and realistic projections before the estimates are formally submitted to the finance department.
By tightening the preparatory process, the Delhi government aims to avoid the inefficiencies seen in earlier years and to present a Budget that reflects both the city's developmental priorities and a prudent fiscal approach. The 2026-27 Budget will also serve as a test for the administration's ability to match expenditure with allocation, while minimising the need for mid-year corrections.
Published by HT Digital Content Services with permission from Millennium Post.