Finance Ministry officials meet heads of CPSEs to discuss capital expenditure
The meeting was chaired by Atanu Chakraborty, Secretary, Department of Economic Affairs and GC Murmu, Expenditure Secretary.
September 06, 2019 / 07:29 PM IST
Ministry of Finance met the heads of Maharatna and Navratna Central Public Sector Enterprises (CPSEs) and financial advisors from the related infrastructure ministries on September 6 to discuss issues related to capital expenditure.
The representatives reviewed the capital expenditure by various CPSEs and Ministries, release of payments for procurement and other contracts in the earliest to infuse liquidity in a time bound manner and 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 government said in a press release.
The meeting was chaired by Atanu Chakraborty, Secretary, Department of Economic Affairs and GC Murmu, Secretary, Department of expenditure.
India's gross domestic product (GDP) grew 5 percent in April-June 2019, official data released on August 30 showed, buffeted by weak household spending and muted corporate investment. GDP growth was 8 percent in the same quarter of 2018-19.
On August 23, Finance Minister Nirmala Sitharaman announced a slew of measures like eased foreign investment rules, concessions on vehicle purchases and encouraged banks to make loans cheaper to spur growth from a five-year low.
To tide over a cash crunch in the banking sector, the RBI cut interest rates by 110 basis points this year to boost loans and revive investment. This was followed by the finance minister announcing the government's decision to inject Rs 700 billion to recapitalise state-run banks and encourage them to lend.
Declining savings, especially household savings, has turned out to be a major challenge for the economy and is leading to structural growth slowdown.