Bihar Finance Rules

Bihar Financial Rules (BFR) are a comprehensive set of regulations governing the financial conduct of the Government of Bihar. These rules are designed to ensure transparency, accountability, and efficiency in the management of public funds. They are applicable to all government departments, autonomous bodies, and institutions receiving grants from the state government.

One of the core principles underlying BFR is adherence to budgetary allocations. Departments are expected to operate within the limits of the funds allocated to them in the state budget. Deviation from these allocations requires proper authorization and justification, ensuring that public money is spent according to the priorities established by the legislature.

Procurement is a critical area covered by BFR. The rules outline detailed procedures for the acquisition of goods, services, and works. These procedures emphasize competitive bidding, transparency, and fairness. Tendering processes, evaluation criteria, and contract management are all rigorously defined to prevent corruption and ensure value for money. Emphasis is placed on open tendering to promote wider participation and obtain the best possible rates.

BFR also addresses the management of public assets. Clear guidelines exist for the acquisition, maintenance, and disposal of government properties. These guidelines are designed to prevent misuse and ensure that government assets are used efficiently and effectively. Periodic stocktaking and asset verification are mandated to maintain accurate records and prevent losses.

Financial control and audit are integral parts of BFR. Internal audits are conducted regularly to assess compliance with the rules and identify areas for improvement. External audits by the Accountant General provide independent assurance on the financial integrity of government operations. The findings of these audits are reviewed and acted upon to strengthen financial management practices.

Disbursement of funds is another key aspect governed by BFR. The rules specify the procedures for making payments to vendors, employees, and beneficiaries. These procedures emphasize proper documentation, verification, and authorization to prevent fraud and ensure that payments are made only to legitimate recipients. E-payments and digital transactions are encouraged to enhance transparency and reduce delays.

Accountability is a cornerstone of BFR. Every government official is responsible for the proper use of public funds under their control. The rules define the responsibilities of various officers, from heads of departments to junior staff, ensuring that there is a clear chain of accountability for financial decisions. Violations of BFR can result in disciplinary action, including penalties and prosecution.

Periodically, the BFR are updated to reflect changes in government policies, technological advancements, and best practices in financial management. These updates aim to enhance the effectiveness of the rules and ensure that they remain relevant in a dynamic environment. Training programs are conducted for government officials to keep them abreast of the latest amendments and ensure compliance with the rules.

In conclusion, the Bihar Financial Rules play a vital role in promoting sound financial management and governance in the state. By providing a framework for transparency, accountability, and efficiency, these rules help to safeguard public funds and ensure that they are used effectively for the benefit of the people of Bihar.