Para 2.13 — CAM

2.13 CLASSIFICATION OF AID MATERIALS & EQUIPMENTS RECEIVED FROM ABROAD 2.13.1 The value of materials, equipment and other commodities received from foreign countries etc., as aid, without involving any cash inflow or outflow should be taken as a receipt under Major Head "1606- Aid Materials and Equipments" by a corresponding debit to the Major Head '3606- Aid Materials and Equipments". When the material or equipment are allocated for use by Government departments or given as grants-in-aid to private bodies etc. the value thereof should be debited to the relevant Major Head concerned relieving the initial debit under the Major Head '3606' by a deduct entry. The same procedure should be followed in the case of transfer of such material by Central Government to State and Union Territories as grants or loans and the debits in Central Government accounts should be to the Major Heads for grants-in-aid/loans and advances to State Governments and Union Territory Governments. When, however, the aid material is sold, the sale proceeds should be credited as a receipt under the relevant Major Head of function for which the material etc. is received. The value of technical services or cost of experts deputed by foreign agencies directly from their own resources does not have to be incorporated in Government Accounts.