Finance minister Nirmala Sitharaman on Thursday justified the slashing of funds in the revised estimate compared to the budgetary estimate under social sector schemes, saying the government prioritises outcome and proper spending over outlay.

In her reply to the discussion on the budget in the Rajya Sabha, Sitharaman said the yardstick of success was the proper utilisation of funds.

She was responding to criticism by Opposition members who cited a substantial cut in the revised estimate in 2025-26 over the budgetary estimate of the same year under schemes such as the Jal Jeevan Mission, Pradhan Mantri Awaas Yojna (Grameen), Pradhan Mantri Gram Sadak Yojna (PMGSY) and the Samagra Shiksha Abhiyan (SSA).

Former finance minister P. Chidambaram on Monday said there had been a cut of ₹53,000 crore in the revised estimate over the budgetary estimate for various rural development schemes. Agriculture has witnessed a reduction of ₹6,985 crore, he said.

Rural road scheme PMGSY saw a cut of ₹7,201 crore, while the PMAY (G) witnessed a reduction of ₹22,331 crore. Under Jal Jeevan, the rural piped water scheme, the budgetary estimate allocated ₹67,000 crore, but the amount mentioned in the revised estimate is only ₹17,000 crore, Chidambaram said.

"You blame the states but why don’t you give them money and there is not even a word of explanation for this cut. The Prime Minister or somebody in the cabinet must ask the ministers as to why there is a cut of ₹60,000 crore in the ministries under their watch," Chidambaram said.

Sitharaman on Thursday said that with the use of technology, the government had a clear picture on how much of the funds released by the Centre had been spent.

"Money goes when it is required. We do not blindly release money. There is no stopping of funds. It is an assurance to the taxpayers that every rupee is accounted for. The Centre’s funds are not a free pool of cash," Sitharaman said.