CAPEX by CPSEs critical driver of economic growth, need to be scaled up: Sitharaman

New Delhi, Oct 20  Reviewing the performance of CPSEs, Union Minister for
Finance and Corporate Affairs Nirmala Sitharaman on Monday said the CAPEX by
CPSEs is a critical driver of economic growth and need to be scaled up for the FYs 2020-21
& 2021-22. Ms Sitharaman held a video-conference with Secretaries of the Ministries of Petroleum &  Natural Gas and Ministry of Coal, along with the CMDs of 14 CPSEs belonging to these Ministries, to review the capital expenditure (CAPEX) in this financial year. This was fourth in the ongoing series of meetings that the Finance Minister is having with various stakeholders, to accelerate the economic growth in the background of COVID–19
pandemic, the Ministry of Finance said in a statement here. In FY 2019-20, against the CAPEX target of Rs 1,11,672 crore for these 14 CPSEs, the achievement was Rs 1,16,323 crore, that is 104 per cent. FY 2019-20, H1 achievement was Rs 43,097 crore (39 per cent) and achievement of FY 2020-21, H1 has gone up to Rs 37,423 crore
(32 per cent). CAPEX target for 2020-21 has become Rs 1,15,934 crore. The Finance Minister asked the concerned Secretaries to closely monitor the performance of CPSEs in order to ensure the capital expenditure to the tune of 75 per cent of the capital outlay by the end of Q3 of FY 2020-21 and make appropriate plan for it.
Ms Sitharaman expounded that more co-ordinated efforts are required at the levels of Secretary
of concerned Ministries and CMDs of CPSEs to achieve CAPEX targets.
While mentioning the significant role of CPSEs in giving a push to the growth of the Indian
economy, the Finance Minister encouraged the CPSEs to perform better to achieve their targets
and to ensure that the capital outlay for FY 2020-21 is spent properly and within time.
Ms Sitharaman said that better performance of CPSEs can help the economy in a big way to
recover from the impact of COVID-19. The CPSEs CAPEX review is carried out jointly by Department of Economic Affairs and Department of Public Enterprise