Who Pays the Salary of the Prime Minister of India?

The salary of the Prime Minister of India is a topic of great interest, especially in the current global financial context. This article aims to provide a comprehensive overview of who pays the salary of the Prime Minister of India, how it is determined, and the associated perks.

Who Determines and Pays the Prime Minister's Salary?

The salary of the Prime Minister of India is determined and paid by the Government of India, with the funding coming from the Consolidated Fund of India. This fund is financed through various sources such as taxes, duties, and other revenues collected by the government. The salary is subject to periodic revisions and is set by the Parliament of India.

Current Salary and Allowances

Currently, the Prime Minister of India receives an approximate monthly salary of ?2.5 lakh, which is equivalent to approximately USD 3,350. In addition to the salary, the Prime Minister is entitled to certain allowances and perks, including free housing, travel, and medical facilities.

Moreover, the Prime Minister's salary is an important aspect of India's governance. According to Article 75 of the Indian Constitution, the salary is determined and revised periodically by the Parliament. The current estimated salary is ?20 lakh or ?28,000 annually, as per recent reports.

How is the Salary Appended and Authorized?

The Prime Minister's salary and allowances are paid from the Consolidated Fund of India. This fund is recognized by the President and is the central government's account that receives all direct and indirect tax revenues, non-tax revenues, and other revenues of the government. The expenditure incurred from this fund is charged on the Consolidated Fund of India and cannot be voted upon.

Historical Context and Comparisons

The salary of the Prime Minister has evolved over time. In 2010, the Prime Minister's office reported that he did not receive a formal salary but was only entitled to monthly allowances. The The Economist reported that on a purchasing-power parity basis, the Prime Minister received an equivalent of ?41,060 annually. As a percentage of the country's per-capita GDP, this was the lowest among the countries surveyed by The Economist.

Salary Timeline

October 2009: ?100,000 (around USD 1,500) October 2010: ?135,000 (around USD 2,000) July 2012: ?160,000 (around USD 2,400)

It is important to note that the PM's official residence is 7 Lok Kalyan Marg in New Delhi, which is the government-provided accommodation for the Prime Minister. For ground travel, the Prime Minister uses a highly modified armoured BMW 7 Series F01, and for air travel, an aircraft designated by the call sign Air India One. The protection of the sitting Prime Minister and his family falls under the Special Protection Group.

Understanding the salary structure and associated benefits of the Prime Minister is crucial for transparency and accountability in governance. As an Indian citizen or an international observer, it's essential to be aware of the roles and privileges of India's highest-ranking executive position.