In India's democratic system, the final authority to sanction the expenditure of public money lies with the Parliament of India. This is a fundamental principle established by the Constitution of India to ensure financial accountability and democratic control over government spending.

The process works as follows:

Step 1: The government (through various ministries) prepares estimates of expenditure required for different programs and services.

Step 2: These estimates are consolidated into the Annual Financial Statement (commonly known as the Budget) which is presented to Parliament by the Finance Minister.

Step 3: Parliament discusses, examines, and votes on these expenditure proposals through:

• Demands for Grants (detailed ministry-wise expenditures)
• Appropriation Bill (to authorize withdrawal of money from Consolidated Fund of India)
• Finance Bill (for taxation proposals)

Step 4: No money can be withdrawn from the Consolidated Fund of India without Parliament's authorization through these legislative processes.

While the President gives formal assent to money bills, this is a constitutional formality rather than discretionary power. The real decision-making authority rests with the elected representatives in Parliament.

Related Topics

Consolidated Fund of India: The fund where all government revenues are deposited and from which all expenditures are made. Parliament's approval is mandatory for any withdrawal from this fund.

Role of President: While the President gives formal assent to money bills, this power is exercised on the advice of the Council of Ministers and does not represent independent decision-making authority over expenditures.

Financial Committees: Parliament has established committees like the Public Accounts Committee and Estimates Committee to ensure ongoing scrutiny of government expenditure even after budget approval.

Constitutional Provisions

Articles 112-117 of the Indian Constitution specifically deal with financial procedures and establish Parliament's supremacy in financial matters, ensuring that the executive (government) cannot spend public money without legislative approval.

Final Answer: Union Parliament has the final right to sanction the expenditure of public money in India.