Para 4.6 — MSO

ALLOCATION OF EXPENDITURE BETWEEN CAPITAL AND REVENUE 4.6 It should be borne in mind that regarding the question as to whether expenditure shall be met from current revenues or from borrowed moneys the decision of the Executive should normally be acceptable to the Accountant General so long as the decision is generally in conformity with the budget proposals passed by the Legislature or has otherwise received its specific approval. It is, however, the duty of the Accountant General to bring to notice of the Government cases in which the classification of expenditure between revenue and capital or its distribution between current revenues and loan funds appears to be contrary to the dictates of sound and prudent financial administration. The principles upon which classification of expenditure between capital and revenue should be based are described in the following paragraphs.