Question

what is meant by march rush

Answer 1

Hey

What is meant by march rush ??

Answer :- According to “rule of lapse” any part of grant (expenditure from consolidated fund of India) not spent within the financial year (april 1st to march 31st) expires at the close and goes back to the consolidation fund of India because it is not spent for the purpose it is allocated.The money unused can’t be used for the next financial money to use this money again statutory authorization is required.

Hence usually there will be rush to absorb this extra expenditure and there will be irrelevant,heavy spending at the end of financial year (march).This is called march rush.

Recently Finance ministry has asked all government departments to cap spending in march to 15% of the total funds allocated for the full financial year to avoid this rush.

Hope helps

Answer 2

March rush:

• According to the "rule of lapse," any part of the grant (expenditure from India's consolidated fund) not spent during the financial year (April 1 to March 31) expires at the end and goes back to India's consolidation fund because it is not spent for the allocation purpose.
• For the next financial capital, the spent resources cannot be used to use this money again needs legislative permission. Thus, typically there will be a hurry to consume this additional spending, and at the end of the financial year (March) there will be insignificant massive expenditure.