Project Monitor Group still to Resolute Projects of Rs. 18 Lakh Crore
The government has managed to re-start about 27 % of the delayed projects in spite of all odds. About 577 projects with an investment of Rs. 25,35,288 crore is reported within the Project Monitoring Group, PMG.
This is regarding the settlement of certain issues that are withheld due to several ministries and departmental heads. From among these 557 projects, the supervisory and regulatory matters have been taken care of as 186 projects have a financial outlay of Rs. 6,88,022 Crore. Almost 371 projects are pending due to PMG, with a net investment of Rs. 18,47,266. This was shared with a public sector bank by a finance ministry official. At the time of the review of the act of public sector banks, the matter of mired projects was brought into consideration.
At the time of the UPA Government’s term, a Cabinet Committee on Investment or CCI was made in January, last year. This was mainly initiated to bring the pending projects under the notice of building sectors as well as infrastructure. To add to it, the Project Monitoring Group or PMG was set up as a wing of the Cabinet Secretariat that would help in monitoring hindered projects and take care of the issues that would be coming.
The amount of the financial support necessary for these projects will definitely be a challenge to the public sector banks. This is mainly because these banks reported dire loans of Rs. 2,43,043 Crore which is 5.32 % of the total advance of the loan.
The Gift City project in Gujarat, home ground of Prime Minister Modi, is huge in terms of investment, among the stalled construction projects. It needs to be financed by Rs. 87,000 Crore. A note from finance ministry has details of about 90 unsettled projects that indulges ransom investment of more than Rs. 5,41,00 Crore.
Among them, 110 are abandoned coal projects which are stalled due to lega problems. Other noteworthy projects in the list of hindered projects are Essar Steel Complex of Rs.22,587 Crore in Orrisa and Aero-city Project of Delhi with a financial investment of Rs. 12,000 Crore.
SOURCE: FINANCIAL EXPRESS
Aero-city Project of Delhi, cabinet committee on investment, CCI, Congress-led UPA government, Essar Steel Complex, UPA government
