GFR 2017 PDF Free Download

GFR 2017 PDF Download Info

Short Title And Date Of Start: These Rules May Be Called The General Financial Rules, 2017 And They Shall Come Into Force Immediately For All Ministreies/ Departments Of The Central Government, Attached/subordinate Offices And Autonomous Bodies, Lower Down The Line.

The Gfrs Are Assumed To Be Applicable To Autonomous Bodies, Except In Respect Of Cases Where The By-laws Of The Autonomous Body Mention That That Body Shall Be Guided By Separate Financial Rules Approved By The Government.

GFR 2017 PDF Free Download

1. General Financial Rules (Gfrs) Ascertain A Set Of Directions Promulgated By The Indian Government, Which Everyone Is Expected To Adhere To While Dealing With Matters Relating To Public Money. Unless Specifically Provided Elsewhere In These Rules, All Departments And Organisations Under The Government And Entities Specified Are Expected To Follow These Rules And Directions, Which Shall Be Treated As Executive Instructions.
2. General Financial Rules Were First Published In 1947, Bringing Together All The Previous Directives And Instructions Relating To Financial Matters In One Place. They Were Subsequently Modified And Issued As Gfrs 1963 And 2005.
3. A Number Of Innovative Changes In The Way Functioning Of The Government Have Been Introduced During The Past Few Years. Gfrs Were Necessary To Incorporate Changes In Government Budgeting, Particularly In Relation To Plan Versus Non-plan Classification Of Expenditure, Merger Of Railway Budget With General Budget, And Additional Focus On Results By Introducing Outcome Budget Document.
4. In View Of The Greater Emphasis On The Public Finance Management System, Use Of The Dbt Scheme To Ensure Efficient Delivery Of Entitlements, And Introduction Of New E-sites Like Central Public Procurement Portal, Government E-marketing Portal, And Non-tax Revenue Portal, There Is A Need To Revise And Update The Existing Gfrs To Make Them Relevant To The Prevailing Dynamic Business Environment.
5. This Set Of Recommendations Was Aimed Directly At Making Gfrs Compliant With Administrative Due Diligence, Financial Discipline, And Accountability Norms, And Ensuring That They Bring In Efficiency Instead Of Acting As An Impediment To Timely, Smooth Execution.
6. It Is Also An Inclusive Set Of Recommendations, As The Expenditure Management Commission Itself, Constituted In 2014 To Suggest Ways And Means To Make Public Expenditure More Efficient, Has Also Come Out With A Variety Of Proposals, Especially Vis-à-vis Autonomous Bodies. Besides The Modality Of Functioning Of Autonomous Bodies, New Provisions Have Been Levied Relating To Non-tax Revenue, User Charges And The E-receipts Portal.
7. Establishment Of A Task Force For Reviewing The Gfrs So That Comprehensive Guidelines Could Be Evolved So That The Anomalies And Difficulties Enumerated In The Foregoingparagraph Could Be Obviated Is The Recommendation Of The Pac In April 2015, The Group Of Secretaries In February 2016 And The Emc In March 2016.
8. The Gfrs, 2017 Have Been Revised After Detailed Deliberations At The Task Force Level And Thereafter With Ministries And Departments Of The Central Government, A Few State Governments, And Other Stakeholders. Further, The Discussion Draft Was Hosted On The Website Of Mof.
9. Views Of The Secretaries Of All Government Of India Departments And Ministries Were Invited On The Proposed Additions And Modifications Keeping In View Their Special Needs In Each Field. Extensive Inter-departmental Consultations Have Also Been Carried Out Within The Ministry. The Comments Received From C&ag On The Draft Gfrs Have Also Been Taken Into Account.
10. The Criterion For Any Regulation Is That It Should Be A Framework Within Which A Business Can Conduct Its Financial Dealings Responsibly Without Losing Its Flexibility To Accommodate Various Situations.
11. The Reason For The Comprehensive Revision Of The Gfrs 2005 Is To Bring In Clarity And Transparency In The Processes And System Of Government’s Finances. The New Gfrs 2017 Shall Provide An Effective, Efficient, And Flexible Framework Of Fiscal Management While Permitting Timely Delivery Of Services.
12. The Department Of Expenditure Would Like To Place On Record Its Deep Appreciation For The Excellent Work Done By The Members Of The Task Force On Review Of Gfrs, The C&ag And Cga Offices, The Department Of Economic Affairs’ Budget Division, The Ministries And Departments Who Provided Valuable Inputs, And Its Own Officers Who Worked With Alacrity And Excruciating Care To Bring Out This Highly Important And Difficult Exercise Within Schedule.

All Money Received By Or On Behalf Of The Government Whether As Dues Of Government, Deposits, Remittances Or Otherwise Shall Be Promptly Deposited Into The Government Account Subject To Any Special Or General Instructions That May Be Given In Pursuance Of Articles 150 And 283(1) Of The Constitution.

The Government of India published the General Financial Rules (GFR) 2017 as a series of guidelines for the overall control of all financial transactions and for the responsible, effective, and transparent management of public monies. They cover a terrain that encompasses many different facets related to financial management and governance connected with public procurement.

Elucidated below are the various aspects of GFR, 2017 in detail:

Outline of General Financial Rules, 2017

Objective: The proper handling of money is essential.

• Promote accountability and transparency in public financing
• Ensure that tax-payer money is spent efficiently

Salient Features: – Detailed procedures for procurement of goods, works, and services.

• Financial propriety and rules for expenditure control.
• Audit, review, and compliance mechanism.

GFR 2017’s GeM Rules (Government e-Marketplace)

An online platform, called Government e-Marketplace (GeM), was opened to help the procurement needs of various government departments and organizations. Some specific provisions in respect of GeM, specified under GFR 2017, are as follows:

1. Procurement Through GeM to be Mandatory: Procurement of goods and services by the government up to ₹50,000 shall mandatorily be through GeM.
   GeM should be the first choice for procurements above ₹50,000.
2. Competitive Bidding and Price Comparison: Through GeM, a platform is provided for price comparison and competitive bidding so that value for money may be ensured.
   • GeM bidding and reverse auctions have been encouraged for ministries and departments.
3. Transparency and Efficiency: GeM ensures transparency in the procurement procedure since buyers and sellers can share a single marketplace.
   It leads to lesser corruption and greater efficiency in procurement.
4. Compliance and Audits: – GeM transactions are audited to make sure they follow GFR guidelines and to stop money from being misused.

The Aims of the Public Financial Management System’ (PFMS) Under the GFR 2017

The Indian government uses the web-based Public Financial Management System (PFMS) for tracking and controlling the cash flow in real-time. As per the GFR 2017, the objectives of PFMS are:

1. Real-time Funds Tracking: Facilitates the tracing of money disbursed by the central government to various implementing agencies.
2. Transparency and Accountability: It ensures accountability in spending public money; facilitates transparency in the use of funds with real-time information on fund use.
3. Improved Financial administration: Supplying a unique platform with financial transactions and reporting, PFMS supports the effective administration of public finances.
4. Automation of Payments: This clause will allow the automation of payment processes, enabling the processes to be effective and time-bound, reducing delays.
5. Monitoring and Reporting : Tools in PFMS for monitoring of financial outcomes and for generating reports to support decisions.

GFR 2017 Amendment Rule 154

GFR 2017 Rule 154 deals with Purchase of goods without quotation. This rule has undergone amendments for bringing improvement in the procurement process. The salient features of Rule 154 are as follows:

1. Procurement Threshold: – Consequent to constitution of secretary level committee, the erstwhile law permitted direct purchase of items without quote up to some amount, generally ₹ 25,000.
2. Amendments: Rule 154 has been amended to raise the threshold for direct purchase to ₹50,000 in order to acquire low-value goods more expeditiously and without calling for bids.
3. Efficiency in procurement: Administrative load is reduced with the amendment by streamlining and expediting the procedure for procurement of items of low value.
4. Conditions for Use: The prices offered shall be reasonable and competitive, even in cases of direct procurement, while governmental organisations should ensure the same.

Chapter Bottom Line

• GFR 2017 has laid down meticulous guidelines on procurement and financial management for the government sector.
• As provided in the rules of GeM under GFR 2017, the existence of an online marketplace has been mandated to have an efficient and transparent public procurement system.
  PFMS under GFR 2017: Management and tracking of public money for improved accountability and transparency.
• Rule 154 of GFR 2017 lays down a much more liberal and streamlined procurement procedure for low-value commodities—direct purchase of goods up to ₹50,000 without the mandate for bids.

These polices and procedures are targeted at enhancing India’s public financial management system along parameters of accountability, governance, and effectiveness.