Irdai’s salary outgo to rise 53% to Rs 80 crore in FY17

By: |
July 07, 2016 6:38 PM

Irdai's expenses towards staff salary are set to rise by over 50 per cent to Rs 80 crore in the current fiscal even as the insurance regulator stares at a budget deficit of Rs 191 crore.

Insurance - 660Irdai estimate receipts of Rs 201 crore and total payments of Rs 392 crore during the current fiscal. It has pegged a revenue surplus of Rs 5 crore in the fiscal and capital deficit of Rs 196 crore. (Thinkstock)

Irdai’s expenses towards staff salary are set to rise by over 50 per cent to Rs 80 crore in the current fiscal even as the insurance regulator stares at a budget deficit of Rs 191 crore.

The regulator’s advertisement budget towards consumer awareness during 2016-17 is pegged at Rs 60 crore, as per the minutes of the Board meeting released by Insurance Regulatory and Development Authority of India (Irdai).

Due to budget allocation under major heads and considering the overall receipts and payments, the budget for the year 2016-17 results in a deficit of Rs 191 crore, it said.

Irdai estimate receipts of Rs 201 crore and total payments of Rs 392 crore during the current fiscal. It has pegged a revenue surplus of Rs 5 crore in the fiscal and capital deficit of Rs 196 crore.

The regulator has projected earnings of about Rs 85 crore as fee receipts from insurers and an average interest income from investment at the rate of 8 per cent.

On revenue expenditure front, Rs 80 crore is budgeted under salaries which are an increase of 53 per cent as compared to the last year expenditure of Rs 52 crore.

The extra outgo on salaries front is due to increase in the staff strength. Increase in salary, dearness allowance (DA), and pay revision/arrears due has added to expenditure.

It has provided a sum of Rs 160 crore for fixed assets. It includes, construction of building (Rs 91 crore), IT project (Rs 24 crore) and expected payment for building at Mumbai (Rs 45 crore).

Do you know What is Cash Reserve Ratio (CRR), Finance Bill, Fiscal Policy in India, Expenditure Budget, Customs Duty? FE Knowledge Desk explains each of these and more in detail at Financial Express Explained. Also get Live BSE/NSE Stock Prices, latest NAV of Mutual Funds, Best equity funds, Top Gainers, Top Losers on Financial Express. Don’t forget to try our free Income Tax Calculator tool.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Continuous reforms makes India great place to do business: Nirmala Sitharaman to US investors
2CEA expects food inflation to ease with unlock, good monsoon
3Bank of England keeps UK rates at record low of 0.1%