The central government lauded Chhattisgarh’s government reforms in its financial management system.
Raipur, December 31, 2024: Under the leadership of Chief Minister Shri Vishnu Dev Sai, the Chhattisgarh government has achieved a significant milestone by implementing an IT-based financial management system to bring transparency and efficiency to administrative tasks. The central government, appreciating this digital reform, has provided the state with ₹250 crore as capital expenditure (CAPEX) incentive.
Chhattisgarh state has adopted the “Just In Time” (JIT) model and the SNA Sparsh system for financial management of centrally sponsored schemes. This system simplifies the distribution, tracking, and payment of funds while streamlining financial flow. Under this, the state government has integrated central funds through the RBI’s e-Kuber network and state funds through the Financial Management and Information System (FMIS). This initiative has ensured timely utilization of funds and real-time reporting of expenditure.
This reform utilizes a smart payment algorithm, enabling real-time payments based on payment trigger rules. This has improved the Public Financial Management System (PFMS) results. Additionally, by creating digital platforms and portals in the state, the general public is receiving the benefits of government schemes faster and more transparently.
The Chhattisgarh government has made its technology-based reforms nationally relevant by promoting Digital India and Direct Benefit Transfer (DBT). This incentive amount will further strengthen the state’s infrastructure projects and infrastructure ecosystem.
Chief Minister Shri Vishnu Dev Sai stated that technology-based reforms and good governance are the mantras for Chhattisgarh’s economic development. This achievement is not only proof of administrative efficiency but also a testament to our government’s commitment to good governance for the people. This effort by the Chhattisgarh government will not only technically empower the state but also serve as an inspiration for other states.
It is noteworthy that the Chhattisgarh government is promoting the use of IT to accelerate administrative tasks. Under this, the JIT (Just In Time) model has been adopted under SNA Sparsh for releasing, distributing, and tracking funds for centrally sponsored schemes, and for better cash management. Through this, work is being done through a new system for centrally sponsored schemes, aiming to optimize fund utilization by receiving funds from consolidated central and state funds at the appropriate time, focusing on efficient payment processing, and providing real-time expenditure reporting. In this, the state’s share of the centrally sponsored scheme is released through FMIS (Financial Management and Information System), and the central share is released through the RBI’s e-Kuber network, enabling real-time fund utilization.
A Just In Time system has been adopted to transfer funds “at the right time” to facilitate the Public Financial Management System by establishing a payment-cum-accounting network with an efficient fund flow system for centrally sponsored schemes. This involves efficient real-time payments based on trigger rules through algorithms under smart payments, helping to improve financial management outcomes in the public sector.
The Chhattisgarh government is committed to strengthening the central government’s Digital India initiative. The Just In Time model contributes to Digital India and Direct Benefit Transfer (DBT) for better cash management and the Public Financial Management System (PFMS). “Technology-based reforms and good governance for rapid economic growth” is one of the strategic pillars included in the budget statement for the fiscal year 2024-25. The Government of India is also providing full support for this reform in adopting the financial management system for centrally sponsored schemes. The state has received ₹250 crore as an incentive for capital expenditure (CAPEX) for this reform. An additional ₹250 crore incentive is expected. This amount will be used in the state’s infrastructure development projects.