Centre approves Rs626-crore scheme for computerisation of state treasuries

The Government of India has approved a Rs625-crore project for computerisation of state treasuries across the country on a mission mode, minister of state for finance Namo Narain Meena informed the Lok Sabha in a written reply today.

The scheme, to be implemented over a three-year period beginning 2010-11, would support states and union territories in filling existing gaps in their treasury management, including computerisation, upgradation, expansion, and interface requirements, apart from supporting basic computerisation.

The scheme provides for installation of suitable hardware and application software systems in networked environment on a vide area basis and building interfaces for data sharing among various stakeholders.
 
The overall cost of the scheme is estimated to be around Rs626 crore at the rate of Rs1 crore per district as of 1 April 2010.

The treasury computerisation project is expected to make budgeting processes more efficient, improve cash flow management, and promote real-time reconciliation of accounts. It would also strengthen management information systems (MIS).

This would help improve accuracy and timeless in preparation of accounts while bringing about transparency and efficiency in public delivery systems. The financial management of states and union territories as also the quality of service of states and UTs would also improve.