The role and functions of the Finance Department of the Government of Arunachal Pradesh is laid down in the Business of the Government of Arunachal Pradesh (Allocation) Rules, 1998 as amended up to 14th April, 2005, namely:

FUNCTIONS & DUTIES:

• Preparation and compilation of Budget estimates, revised estimates and supplementary grants.
• Administration of the Consolidated Fund and Contingency fund of the state.
• Control of expenditure and economy measures.
• Audit and Accounts.
• All matters related to Banks and banking institutions.
• Matters related to creation of posts, fixation of pay and grants-in-aid.
• Financing of Five year Plans and expenditure sanctions relating to Plan and Non-Plan Schemes of all departments.
• Loans and advances.
• Exercise of financial powers delegated by the Governor in case where such powers have not been specifically delegated to other departments and authorities.
• Scales of pay and allowances, revision, etc.
• Report of the Comptroller and Auditor General and laying it before the Assembly.
• Delegation of the financial and cognate powers, honorarium, fees, etc.
• Advice on all matters relating to pay and Allowances, Pension and General Financial Administration.
• Codification of Financial rules and regulations.
• Framing of financial rules, F.R. and S.R. etc.
• Small Savings Scheme.
• Matters relating to Finance Commission, State Borrowings, negotiated loans and external funding.
• Matters relating to Public Accounts Committee.
• Government Companies, Corporations loans, Guarantee, etc.
• Policy matters/rules relating to pension.
• Ways and means.
• Annual receipts and disbursements for the purpose of State Government.
• Scrutiny of state legislation having financial implication.
• Pay Commission.
• Assessment of Plan resources.
• All matters relating to Audit reports.
• Matters relating to capital restructuring proposals of Public Sector undertakings.
• Assessing potential tax and non-tax revenues, initiating measures to augment such revenues and monitoring their realization.
• All matters relating to Accounts service.
• Matters relating to General Provident Fund.
• Finalization and issue of pension, family pension, retiring pension, retiring gratuity, death gratuity, commutation, etc.
• Authorization of benefit under GIS.
• Maintenance of loans, advances, accounts and matters related thereof.
• Internal audit of all Government departments.
• Matters related to Treasury Administration.
• Checking of fixation of pay and revision of pay-scale.