India announces austerity measures, cuts non-plan spend

India announced a series of austerity steps on Thursday, including a 10% cut in non-plan expenditure for 2012/13, in a bid to contain its ballooning fiscal deficit.

May 31, 2012 / 19:38 IST

India announced a series of austerity steps on Thursday, including a 10% cut in non-plan expenditure for 2012/13, in a bid to contain its ballooning fiscal deficit.

India's non-plan expenditure for 2012/13 is estimated at Rs 970000 crore.

However, the cut, according to a statement released by the Ministry of Finance, excludes interest payment, debt repayment, defence capital, salaries, pensions, and grants to states.

first published: May 31, 2012 06:02 pm

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