2.3.3. Financial Powers

♤ The Governor of the state confirms that the state budget or the Annual Financial Statement is laid before the State Legislature.

♤ Money Bills can be introduced in the State Legislature only with the prior recommendation of the Governor.

♤ Demand for a grant can be made only on the Governor’s recommendation.

♤ To meet any unforeseen expenditure, he can make advances out of the Contingency Fund of the State.

♤ To review the financial position of the Panchayats and the Municipalities, the Governor constitutes a Finance Commission in the state after every five years.