Indian Navy to get new budget controlsystemNew Delhi,Business/Economy,Defence/Security, Fri, 10 Aug 2012IANSTweet inShareNew Delhi, Aug 10 (IANS) In a revolutionary step to speed up its budgetary processesand macro-manage public funds, the Indian Navy will Saturday launch its force-wideautomated Financial Information System (FIS) that is expected to simplify decision-makingand enhance transparency in its monetary dealings.Defence Minister A.K. Antony will launch the FIS at an event in the presence of Indian Navychief Admiral Nirmal Verma. For starters, FIS will help manage the $13 billion the IndianNavy has been been allocated in the budget for 2012-13.Developed over a two-year period with help from information technology major WiproInfotech, the FIS cost the navy about $6 million to create."The FIS is a pioneering initiative of the Indian Navy for effective management of its budget,both capital and revenue. The FIS provides a unified platform to bring together alldepartments involved in budgetary estimation, allocation and public expenditure," a navalofficer said."The system will deal only with public funds and would simplify fund allocation, expenditureand monitoring and reduce timelines in the procurement process," the officer added.The FIS will replace the legacy system of budget management that happenedpredominantly manually and took nearly 45 days of every year in preparing for theprocesses of allocation and utilisation.With the Indian Navy buying new equipment - forwhich nearly $5 billion was allocated this year - annually, the FIS is expected to not onlyhelp allocate funds, but also monitor the payment schedule to the sellers.To be hosted on 36 physical servers that translate into 54 virtual servers in the nationalcapital, the FIS will be based on the navys intranet and hence would be free of the threat ofcyber attacks."The system has been designed to comply with existing financial regulations, therebyautomatically ensuring compliance by all users," the officer said.Interestingly, the navy has over 700 units, including warships, that utilise funds from theannual budget under over 650 heads.The Indian Navy, being entrusted with the responsibility of securing Indian maritimeinterests and safeguarding a 7,500-km coastline and the exclusive economic zone, has to
maintain a large fleet and supporting units, apart from modernising and upgrading itsplatforms and equipment.All of these processes are facilitated by the naval budget, which is managed and utilised bythe directorate of naval plans at the headquarters.