FM Sitaraman holds review meetings on Capex for aviation and telecom sectors

During the review meetings, attended by economic affairs secretary, civil aviation secretary, telecom secretary as well as the respective joint secretaries, Sitharaman emphasised that there must be an accelerated phase of infrastructure development and that the ministries must continuously make concerted efforts to ensure that project implementation is fast-tracked.

The meeting discussed Capex status of Q1 and Q2, front-loading of Capex, estimated targets of capital spending by ministries and their central public sector enterprises (CPSEs) in the upcoming quarters of current financial year, expenditure incurred for implementation of National Infrastructure Pipeline (NIP) projects, estimation of funds to be raised by asset monetisation, projects undertaken through PPP and convergence under National Master Plan (Gati Shakti).

Sitharaman reiterated that ministries must pool in all efforts to ensure higher capital spending in coming months to achieve higher growth in the economy.

The finance minister exhorted officials to monitor implementation of projects besides monitoring release of funds.  Sitharaman reiterated that infrastructure projects are priority for the government and necessary funds will be made available for Capex. 

Sitharaman underlined that the infrastructure spending includes not only central government budgetary expenditure on infrastructure, but also spending by state governments and the private sector. The private Capex on infrastructure, and those under public-private partnership should also be tracked to capture the entire infra progress in the country.

The finance minister also directed officials in the Department of Economic Affairs (DEA) to work in close coordination with the ministry of civil aviation to ensure that more projects are initiated and Capex spending in FY23 is substantially increased than the present target.  Sitharaman asked the Department of Telecommunications to push its CPSE Capex, fast-track asset monetisation, and work in close coordination with DIPAM to finalise the process of monetisation at the earliest, ensuring expeditious implementation of digital expansion plans in entire North East region on priority.

Sitharaman enjoined the secretaries concerned to push expenditure on infrastructure projects in current financial year as well as plan for the next fiscal. 

Monday's meeting is the first of series of review meetings by the finance minister on Capex with various infrastructure ministries/ departments and in continuation of previous round of meetings held in June this year.