After the allocation of state budget the departments get nearly 8 months for its disbursement. 2 months before the release of next budget, orders are issued to freeze the current year budget. Generally Minority Welfare Department is given time to spend the budget amount till January end or early February. After 2nd week of February it is ordered to freeze the remaining undisbursed amount. As a result Minority Welfare Department has been losing 20 percent budget for the past four years. Despite that no strategy is formed for optimum utilization of budget earmarked for minorities. Consequently no significant difference can be seen in the economic and educational development of minorities.
Against the budget outlay of 6 Cr 8 lakh for Urdu academy, utilization is just Rs. 2 Cr 75 lakh so far. Govt. of Andhra Pradesh had earmarked Rs. 1027 Cr for Minority Welfare department and the government has released Rs. 476 Cr so far but out of Rs 476 Cr Minority institutions have spent only Rs. 305.83 Cr and Rs. 171 Cr remains to be disbursed. Government still has to release nearly half of the allocated budget and the entire must be spent within 3 months time, otherwise the whole remaining budget may be freezed by the finance department and will go back to the government.
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