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Finance minister asks ministries to accelerate capex, clear dues to MSMEs, PSUs

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She also asked the ministries to clear their dues to MSMEs and the PSUs under them at the earliest. The ministries were also told to explore Public Private Partnership (PPP) mode for viable projects.She additionally requested the ministries to clear their dues to MSMEs and the PSUs below them on the earliest. The ministries have been additionally advised to discover Public Non-public Partnership (PPP) mode for viable initiatives.

To maintain momentum in financial exercise amid the second wave of Covid-19 pandemic, finance minister Nirmala Sitharaman on Friday requested some key ministries to front-load their capital expenditure and attempt to exceed their their capex targets for FY22.

She additionally requested the ministries to clear their dues to MSMEs and the PSUs below them on the earliest. The ministries have been additionally advised to discover Public Non-public Partnership (PPP) mode for viable initiatives.

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“This was the fifth evaluate assembly by the finance minister with ministries/departments on the infrastructure roadmap forward. Through the assembly, capital expenditure plans of ministries and their CPSEs, standing of implementation of price range bulletins and measures to expedite infrastructure funding have been mentioned,” finance ministry stated in an announcement.

Apart from secretaries of key departments, the assembly was attended by CMDs/CEOs of CPSEs below the ministry of street transport and highways, telecommunications and atomic power.

For FY22, the union price range has allotted Rs 5.54 lakh crore for capex, which is 26.5% increased than the provisional actuals of Rs 4.25 lakh crore in FY21. In April, the finance ministry has issued a directive to facilitate allocation of extra funds from division of financial affairs’ discretionary corpus of Rs 44,000 crore to those that present good progress in capex.

“Whereas reviewing the capital expenditure efficiency of the ministries and their CPSEs, Finance Minister emphasised that enhanced capex will play a vital position in revitalising the financial system post-pandemic and inspired the ministries to front-load their capital expenditure,” the finance ministry stated. The efforts from the budgetary facet to extend the capital expenditure should be complemented by the CPSEs, the minister stated.

Sitharaman additionally added that the ministries additionally must discover Public Non-public Partnership (PPP) mode for viable initiatives. She additionally requested the ministries and their CPSEs to make sure clearance of MSMEs dues on the earliest.

The minister requested the telecom division to expedite the necessary initiatives bringing the advantage of excessive stage information connectivity to all elements of the nation together with Aspirational Districts. The street ministry was requested to discover the opportunity of enhancing connectivity in hilly areas and to expedite the implementation of Car Scrapping Facility. The division of atomic power was requested to make sure well timed achievement of initiatives introduced below the Atma Nirbhar Bharat Package deal (ANBP).

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