New Delhi: The cabinet on Thursday approved a proposal to continue the Jawaharlal Nehru National Urban Renewal Mission (JNNURM) to new projects to be sanctioned until March next year. These sanctions were to end this March, with the conclusion of the 11th Five-Year Plan (2007-12).

The new projects and capacity building activities will come under the “urban infrastructure and governance" and “urban infrastructure development scheme for small and medium town" components of JNNURM, an official release said. New urban infrastructure projects and capacity building activities in urban local bodies in states and Union territories will be approved till 31 March 2014. The proposal will enable provisions for the creation of urban infrastructure, particularly in small and medium towns in all states and Union territories.

“These projects would be subsumed in the next phase of the JNNURM for the 12th Five-Year Plan (2012-17)," the release said.

In other decisions, the cabinet committee on economic affairs (CCEA) also approved using the proceeds from the stake sales of state-run companies to recapitalize public sector banks and insurance companies, as well as to subscribe to the shares of public sector companies to retain a 51% stake.

CCEA also allowed the export of processed products, including wheat or meslin flour, cereal flour, cereal groats, meal pellets, milk products, peanut butter and value-added products of onion.

It also approved the recommendations made by the inter-ministerial task force under the chairmanship of Planning Commission member B.K. Chaturvedi on budgetary ceilings for annuity commitments under public-private partnership projects across sectors.