NEW DELHI: The government has decided to set up an inter-ministerial task force to finalise the pipeline of infrastructure projects as it rolls out plans to invest Rs 100 lakh crore to upgrade the network over the next five years. “The initiative is expected to boost growth and job creation. These projects would be monitored actively to accelerate capital expenditure and investments in the economy,” according to the presentation made by FM Nirmala Sitharaman.

To improve access to longterm finance, the government has proposed setting up of an organisation to provide credit enhancement for infrastructure and housing projects. This would help enhance debt flow to such projects. Sitharaman also announced measures to resolve the issue of delayed payments for government projects. Delayed payments from the government and central public sector undertakings would be monitored by the department of expenditure and the performance would be reviewed by the Cabinet secretariat.

The government has also decided to pay 75% of the arbitration awards. This would also be implemented and monitored by the Cabinet secretariat. Delayed payments have been cited by India Inc as a reason for slowdown and lack of investments. At a recent interaction with industry, Sitharaman had stated that she is in the process of addressing the issue of delayed payments.


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