Only a fraction of the envisaged allocations was actually spent on justice-related schemes
The Central government has consistently reduced budget allocations to certain justice-related schemes and projects since 2019, shows the recently released India Justice Report 2025-26.
Data also show that not only have allocations reduced, but also, only a fraction of the envisaged allocations was actually spent on these schemes.
The Modernisation Fund for the State Police Forces was formed to assist special projects and schemes that would upgrade the infrastructure of States’ police as well as Crime and Criminal Tracking Network and Systems.
Chart 1 shows the Budget Estimates (BE), Revised Estimates (RE), and actual expenditure of the Modernisation Fund for the State Police Forces.
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The Centre estimated a budget of almost ₹900 crore for FY19. This declined to around ₹780 crore in BE for FY21. In FY26, it has come down to ₹587.97 crore (BE).
While these figures are for BE, RE show a drastic reduction in allocations. For instance, the ₹780 crore that was budgeted in FY21 was revised to ₹106 crore. Such over-estimations in BE and drastic downward revisions in RE can be seen across most years. In FY25, the allocation for the fund was estimated to be ₹520.51 crore and was revised in the following year to ₹160 crore.
More importantly, the amount actually spent was even lower than the RE in most recent years. Despite an allocation of more than ₹600 crore in FY23, only ₹34.7 crore was actually spent on the modernisation of State police forces. This is about 6% of the allocation. Similarly, only 20-25% of the budgeted amounts were spent in FY21, FY23, and FY24.
The newly introduced Modernisation of Forensic Capacities is aimed at improving forensic testing infrastructure across the country and addressing the shortage of forensic scientists.
Chart 2 shows the allocation of funds for the Modernisation of Forensic Capacities. There was a stark increase and then a decrease in allocations over the past few years for this scheme.
The Ministry of Home Affairs also introduced the Modernisation of Prisons Fund more than two decades ago, which aims to improve the living conditions of prisoners, renovate existing prisons, and build new cells.
Chart 3 shows the budgetary allocations for it.
Despite an initial increase in budgetary allocations for this scheme, which peaked at ₹400 crore in FY23, allocations have come down to ₹300 crore each in the last two years. Until FY23, the allocation was wholly utilised, after which only 44% of the budgeted fund was utilised.
Alternatively, the schemes related to the judiciary have seen an optimal utilisation of funds over the past few years.
Chart 4 shows the BE and RE of allocations to the National Legal Services Authority (NALSA) from FY19 to FY25.
Funds allocated to NALSA have increased since FY19, but have generally remained within the range of ₹150 crore to 200 crore, with the exception of the RE of FY24, during which it increased to ₹400 crore. NALSA has reported 100% utilisation of the budgeted amounts for all the years between 2018-19 to 2023-24.
Chart 5 shows the BE and RE of allocations for the development of infrastructure facilities for the judiciary from FY19 to FY26.
This is a centrally sponsored scheme that was developed to enhance the judicial resources of State governments. Similar to NALSA, this fund has been utilised almost to its full potential across the past five financial years, but has seen a decrease in allocation from ₹1,123.40 crore (FY25) to ₹998 crore (FY26).
Published – February 19, 2025 07:00 am IST
