Budget Distribution Flow for Defence

Forces
Shihab Hasan Chowdhury
Deputy Controller General Defence Finance
 Budget Distribution & Accounting Process
for Civil
MOD

LGD

CAFO
CAFO sends
Authority to
spend DCA DAO UAO
 FC Pay-1 & Pay-2
MOF

MOD

Budget
Directorate

M&Q
PP&A
(TA/DA)

FC Pay-1 FC Pay-2 FC (Misc) Fc Pay-1 FC Pay-2 FC (Misc)

 FC (Misc)
MOF

MOD

Budget
Directorate

Inter
M&Q
PP&A Services
(TA/DA)
Depts.

Subordinate
Area Offices/Uni
ts

Div

Brigade

Unit
 FC (Log) and Area FCs
MOF

MOD

Budget
Directorate
Exception: ATG & ETG Are
directly distributed to Area FCs
Directorates (Except
PP&A and M&Q)

Area

Div

Brigade

Unit
Area FC
 SFC DP

Budget
Directorate
(Army)

Inter Services
DGMS QMG Ordnance/EME
Depts.
 SFC DP

Budget Directorate
(Navy)

Budget of Naval
purchase which
are done with
other forces
together
 SFC DP

Budget
Directorate (Air)

All capital and

significant
contingencies
expenditure
 SFC Air

Budget
Directorate
Air

Pay,
Allowance, TA/DA ATG/ETG
Pension
SFC Navy

Budget Directorate
Navy

Except some purchase

most portion of the
budget of Navy is
assigned to SFC Navy
SFC Works (Army and Air)
MOD

DW-
DW-Air
Army

GE/AGE GE/AGE
Army Air
SFC Works (Inter Services)
MOD

Inter-Service
Depts. MES

FC (Misc) SFC Works

Cash Assignment to
GE/AGE
Conclusion
For defence forces, budget distribution should be
based on the business process of pay-points.
Not linear and simple like civil departments.
Peculiar in nature and complex for accounting and
reporting.
One to Many, Many to Many relationship exists within
pay points, DDOs.