Article 116 of CoI : Article 116: Votes On Account, Votes Of Credit, And Exceptional Grants

Explanation using Example

Example Scenario:

Imagine the government of India is in the middle of a financial year and a natural disaster like a cyclone hits several states, causing widespread damage and requiring immediate financial assistance for relief and rehabilitation. The government needs funds urgently, but the regular budget process through Article 113 and 114 might take too long.

In such a scenario, the Lok Sabha can utilize Article 116 to make an advance grant, which allows for immediate allocation of funds to address the crisis. This grant is made pending the completion of the normal budgetary procedure, ensuring that relief efforts are not delayed due to legislative processes.

Similarly, if there is an unforeseen military conflict requiring immediate and substantial financial resources, the Lok Sabha can invoke Article 116 to make a grant for meeting this unexpected demand upon the nation's resources, without having to provide the detailed estimates that are usually required for annual financial statements.