New Delhi: The Finance Ministry on Friday asked the central public sector enterprises (CPSEs) and infrastructure ministries to accelerate investment activities in order to boost capital expenditure in a sagging economy.
In a meeting jointly chaired by economic affairs secretary Atanu Chakraborty and expenditure secretary G. C. Murmu, capital expenditure plan of various CPSEs and ministries were reviewed and they were asked to adhere to the expenditure plan for the financial year, a Finance Ministry statement said. The CPSEs and ministries were also asked to monitor release of payments for procurements and other contracts without delay to infuse liquidity in a time bound manner as well as resolution of outstanding payments, which may have been held up on account of disputes.
“Ministry of Finance would constantly monitor the progress of large infrastructure projects for the Ministries as well as the CPSEs and further follow meetings would be held. For this purpose, Ministry will be developing a dashboard for enabling Ministries to upload figures on periodic basis," the statement said.
Apart from officials of infrastructure ministries, officials of Power Grid Corporation of India, NTPC, National Highways Authority of India , Steel Authority of India Limited , Oil and Natural Gas Corporation, Indian Oil Corporation Limited, Government e-Marketplace also attended the meeting.
During last week, expenditure secretary and economic affairs secretary also co-chaired a meeting with the heads of large CPSEs and officials of the Ministry of Micro, Small and Medium Enterprises and the Ministry of Public Enterprises.
Government has devised a multi- pronged approach for providing boost to the economy. Finance minister Nirmala Sitharaman has asked ministries to front-load capital expenditure to beat the economic downturn. The government has also announced a slew of sectoral measures for the auto, MSME sectors to boost consumer and investor confidence. It has announced merger of 10 public sector banks into 4 large banks and upfront infusion of ₹70,000 crore capital to boost their lending capacity.