Chandigarh: The UT administration has spent over Rs 1,915 crore in the first quarter (April-June) of the 2026‑27 financial year, accounting for 29.2% of its total budget allocation of Rs 6,545.5 crore.The Union finance ministry sanctioned the budget in Feb during presentation of the Union budget in Parliament.According to the head‑wise expenditure report submitted to the ministry of home affairs (MHA) last week, the administration spent Rs 125.1 crore under the capital segment and Rs 1,789.9 crore under the revenue category.While revenue expenditure stood at 30.1% of allocation, capital spending was limited to 20.6%, reflecting slow pace of developmental works.The capital segment, meant largely for infrastructure and development projects, showed uneven utilisation. Records reveal that only infrastructure assets registered significant progress, with over 52% expenditure in the first quarter. Other capital heads failed to cross even 30% utilisation, raising concerns about delays in project execution.In contrast, the revenue segment, which covers committed liabilities such as salaries, wages, allowances and related expenses, recorded timely expenditure across all heads. Officials noted that routine financial obligations were met without disruption.“Since the first quarter is over, the compiled expenditure report has been submitted to the MHA for evaluation. Revised estimates (RE) for the current year and budget estimates (BE) for the next year depend heavily on overall expenditure. Capital spending is crucial, but utilisation seems low in the first quarter. Senior UT officers hold regular meetings to ensure timely and proper use of funds, especially for developmental works. It will now be crucial to see how much pace is achieved in capital expenditure in the coming quarters,” sources in the UT told TOI.The figures highlight a recurring challenge for the administration — while revenue expenditure remains steady, capital spending continues to lag, potentially slowing down infrastructure growth. With nearly 70% of the budget yet to be utilised, the coming quarters will be critical in determining whether developmental projects can gain momentum and meet targets set for the financial year.Box: Allocated Budget for 2026‑27Total allocation | First quarter expenditure | Percentage6,545.5cr | 1,915cr | 29.2%Capital | 606cr | 125.19cr | 20.66%Revenue | 5,939.5cr | 1789.9cr | 30.14%Box: Key Revenue Segment Allocation (2026‑27)Head | Total allocation | First Quarter Expenditure | PercentageSalaries | 1,668.4cr| 492.3cr | 29.5%Wages | 688.2cr | 145.6cr | 21.1%Medical treatment | 43.5cr | 7.7cr | 17.6%Allowances | 1,385.4cr | 432.1cr | 31.1%Domestic travel expense | 6.3cr | 0.7cr | 12.2%Foreign travel expense | 1.5cr | 0| 0%Office expenses | 104.8cr | 24.4cr | 23.3%Digital equipment | 10.7cr | 1.8cr | 17.5%Supplies and material | 280.03cr | 20.1cr | 7.1%GIA, General | 983.7cr | 529.04cr | 53.7%GIA, Salaries | 161.5cr | 29cr | 17.9%Secret Service | 1.8cr | 0.3cr | 18.03%Total | 5,939.5cr | 1,789.9cr| 30.14%Box: Key Capital Segment Allocation (2026‑27)Head | Total allocation | First Quarter Expenditure | PercentageBuilding and Structure | 390.8cr | 83.1cr | 21.2%Infrastructure assets | 57.1cr | 30.2cr | 52.9%Motor vehicles | 48.9cr | 0.2cr | 0.4%Machinery and equipment | 31.7cr | 6.6cr | 20.8%ICT equipment | 38.1cr | 2.7cr | 7.3%Furniture and fixtures | 3.8cr | 0.7cr | 18.6%Investment | 3.5cr | 1cr | 28.5%Land | 5cr | 0| 0%Other fixed assets | 2.3cr | 0.04cr | 1.6%Arms and ammunition | 0.3cr | 0 | 0%Total | 606cr| 125.1cr | 20.6%What This Means for CitizensSlow capital spending (20.6% in Q1) signals delays in developmental works like roads, buildings, and public infrastructure. Citizens may see projects moving at a slower paceRevenue spending steady (30.1%) ensures salaries, wages, allowances, and essential services are being paid on time, day‑to‑day govt functioning remains unaffectedHealthcare and welfare allocations show limited utilisation in the first quarter, which could affect timely upgrades in medical facilities and social schemesInfrastructure assets are the only capital head with strong progress (52.9%), meaning some construction and repair works are moving faster than othersLow utilisation in other capital heads (vehicles, ICT equipment, machinery) may delay improvements in civic services, technology upgrades, and administrative efficiencyBudget evaluation by MHA will influence revised estimates (RE) and next year’s budget (BE). Poor utilisation now could mean tighter allocations later, impacting future projects.
