Setting quarterly targets for capex by ministries is important: FM

Finance Minister Nirmala Sitharaman on Tuesday underlined the importance of setting quarterly targets for capex by various ministries and expedite spending in the remaining months of the year.

In a review meeting on the budgeted capital expenditure for the Ministry of Road, Transport and Highways (MoRTH) and the Department of Telecom, Sitharaman exhorted the respective ministries to expedite implementation and make up for the June and September quarter targets in December quarter of FY2024-25 itself, the finance ministry said in a statement.

A series of review meetings to be chaired by Sitharaman has been scheduled with various ministries/departments with significant capex outlays.

During the meeting, Sitharaman underlined the importance of setting quarterly targets and ensuring that they are achieved within a stipulated timeframe, the statement added.

Budgetary capex allocation for the Ministry of Road, Transport and Highways has increased by 90 per cent from Rs 1.42 lakh crore in FY2019-20 to Rs 2.72 lakh crore in FY2024-25.

Secretary MoRTH apprised the Union finance minister about the capex plans for the remaining FY 2024-25.

Secretary MoRTH informed the Union finance minister that efforts are being made to attract private capital through various measures and efforts are underway to ensure that asset recycling targets are also met, the statement added.

During the review with respect to the ministry of communication, the details of capex plans in FY2024-25 for Bharat Net Programme, 4G mobile projects -- Indigenous Technology, Network for Spectrum, and 4G saturation and other mobile projects were discussed. The estimated capex budgetary allocation for the ministry of communication in FY2024-25 stands at Rs 28,835 crore.

Secretary, Department of Telecommunications (DoT), apprised the Union finance minister about the capex plan and targets for the Bharat Net project, which aims at providing affordable broadband services to citizens in rural and remote areas.

DoT secretary also apprised about the capital expenditure plans for the 4G saturation project and other mobile tower projects, which seek to improve connectivity in uncovered villages in remote and difficult areas.