Obligatory Expenditure

Obligatory Expenditure

A government outlay that the European Parliament is required to make in order to fulfill its responsibilities as a body of the European Union. For example, agricultural subsidies are considered obligatory because they are mentioned in the treaties, while payroll for EU employees is not because it is not mentioned specifically. Changes to obligatory expenditures require a majority vote of the total membership of Parliament. However, the difference between obligatory and non-obligatory expenditures is sometimes difficult to determine.
References in periodicals archive ?
He said other than obligatory expenditures of debt servicing' defence' pay and allowances of civil services and grant' there will be a thirty percent cut on all other expenditures in accordance with the announcement of the prime minister which will help save forty billion rupees.
He said other than obligatory expenditures of debt servicing, defence, pay and allowances of civil services and grant, there will be a thirty percent cut on all other expenditures in accordance with the announcement of the prime minister which will help save forty billion rupees.
A vote-on-account is primarily a Finance Minister's statement to seek Parliament's approval for obligatory expenditures that the government has to incur for the first three or four months of a financial year.