Revenue Expenditure . #RevenueExpenditure

It is the expenditure NOT used to create assets e.g. expenses on salaries or other administrative costs.

A broad category of things that fall under such expenditures in India are –

  Interest payment by the government on the internal and external loans

  Salaries, Pension and Provident Fund paid to government employees

  Subsidies

  Defense expenditures

  Postal Deficits of the government

  Law and order expenditures (i.e., police & paramilitary)

  Expenditures on social services (includes all social sector expenditures as education, health care, security, poverty alleviation, etc.) and general services (tax collection, etc.)

  Grants by GoI to Indian states and foreign countries.