The Appropriation (No. 4) Bill, 2025: Authorizing Additional Spending for National Priorities
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Ministry of Finance
Introduced in the Lok Sabha on December 15, 2025, The Appropriation (No. 4) Bill, 2025, seeks parliamentary authorization for the government to withdraw an additional sum of Rs. 1,32,268.85 crore from the Consolidated Fund of India for the financial year 2025-26. This bill is the legislative vehicle for the first batch of Supplementary Demands for Grants for the current fiscal year.
Key Financial Highlights:
Gross Additional Expenditure: The total amount authorized is Rs. 1,32,268.85 crore.
Net Cash Outgo: Out of the total, approximately Rs. 41,455.39 crore represents actual fresh cash spending requiring parliamentary approval. The remaining Rs. 90,812 crore is to be met through internal adjustments and re-appropriation of savings from other departments.
Major Sectoral Allocations:
Fertilizer Subsidies: Rs. 31,063.09 crore (Revenue) to support farmers amidst higher nutrient support requirements.
Telecommunications: Rs. 38,543.32 crore (Capital) for infrastructure development.
Road Transport & Highways: Rs. 18,837.00 crore (Capital) to boost infrastructure projects.
Petroleum & Natural Gas: Rs. 14,692.44 crore (Revenue), including support for under-recoveries on LPG.
Education: Significant supplementary grants for Department of Higher Education (Rs. 1,303.73 crore).
What is an Appropriation Bill? An Appropriation Bill is a Money Bill introduced under Article 114 of the Constitution of India. It gives the government the legal authority to withdraw funds from the Consolidated Fund of India to meet authorized expenditures. No money can be withdrawn from this fund without such an Act being passed by Parliament.
Policy Relevance
The introduction of the Appropriation (No. 4) Bill, 2025, reflects the governmentโs dynamic fiscal management to address unforeseen expenditure requirements and evolving policy priorities mid-year.
Responsive Governance: Finance Minister Nirmala Sitharaman stated that supplementary grants are necessary for a responsive government, specifically citing the need to provide timely fertilizer and urea support to farmers.
Infrastructure and Capital Push: Massive capital allocations to Telecommunications and Road Transport (totaling over Rs. 57,000 crore) indicate a continued policy focus on infrastructure-led economic growth.
Fiscal Accountability: The process reinforces the constitutional principle of legislative control over the exchequer, ensuring that any additional spending beyond the original Budget Estimates is scrutinized and approved by the peopleโs representatives in the Lok Sabha.
Follow the full news here: THE APPROPRIATION (No. 4) BILL, 2025