With reference to Union Budget, which of the following is/are covered under Non-Plan Expenditure?
- Defence expenditure
- Interest payments
- Salaries and pensions
Select the correct answer using the code given below.
[UPSC Civil Services Exam – 2014 Prelims]
(a) 1 only
(b) 2 and 3 only
(c) 1, 2, 3 and 4
- All expenditures which are done in the name of planning were called plan expenditures while the rest are placed under non-plan expenditures.
- The government of India has now scrapped the plan and non-plan expenditures in budget exercise and are replaced by capital and revenue spending classifications.
Non-plan expenditure is spread across:
- Expenditure incurred on Defence Services
- Interest payments for debt
- Subsidies (food, fertilisers, etc.)
- Salaries and pensions of employees in various government services
- Economic services by the government such as Agriculture, Industry, Power, Science & Technology,
- Loans and grants
- Social services such as healthcare, education, social security
- Police, etc.