3. •During Twelfth Plan period, investment in infrastructure to go
up to Rs. 50 lakh crore with half of this, expected from Private
sector.
•Tax free bonds of Rs. 60,000 crore to be allowed for financing
infrastructure projects in 2012-13.
•More sectors added as eligible sectors for Viability Gap
Funding under the scheme Support to PPP in infrastructure
•Government has approved guidelines for establishing joint
venture companies by defence PSUs in PPP mode
Highlights - Pandya
4. •FirstInfrastructure Debt Fund with an initial size
of Rs. 8,000 crore launched earlier this month.
•A harmonised master list of infrastructure sector
approved by the Government
•IIFCL has put in place a structure for credit
enhancement and take-out finance for easing
access of credit to infrastructure projects.
Highlights (Contd.) - Batuk
5. National Manufacturing Policy
•National Manufacturing Policy announced with the
objective of raising, within a decade, the share of
manufacturing in GDP to 25 per cent and creating
of 10 crore jobs.
Power and Coal
•Coal India Limited advised to sign fuel supply
agreements with power plants, having long-term
PPAs with DISCOMs and getting commissioned on
or before March 31, 2015.
•External Commercial Borrowings (ECB) to be
allowed to part finance Rupee debt of existing
power projects.
Highlights (Contd.) - Kale
6. •Target of covering a length of 8,800 kilometer
under NHDP next year.
•Allocation of the Road Transport and Highways
Ministry enhanced by 14 per cent to Rs. 25,360
crore.
•ECB proposed to be allowed for capital
expenditure on the maintenance and operations of
toll systems for roads and highways, if they are
part of original project.
•Direct import of Aviation Turbine Fuel permitted
for Indian Carriers as actual users.
Transport: Roads and Civil
Aviation - Ravi
7. •ECB (external commercial borrowing ) to be
permitted for working capital requirement of airline
industry for a period of one year, subject to a total
ceiling of US $ 1 billion.
•Proposal to allow foreign airlines to participate
upto 49 per cent in the equity of an air transport
undertaking under active consideration of the
government.
•Full exemption from import duty on specified
equipment needed for road construction, tunnel
boring machines etc
Sahil
8. Transport: Roads and Civil
Aviation (Contd)
Delhi Mumbai
Industrial Corridor
•In September 2011
central assistance of
18,500 crore spread
over 5 years approved.
US $ 4.5 billion as
Japanese participation
in the project.
• Shyam
9. •Measures will ease financing constraints faced by
certain infrastructure segments and spur growth.
•The access to viability gap funding for irrigation
projects will improve private sector participation in
the sector.
•Construction companies, power companies and
port development companies will be benefited by
the lowering of withholding tax on ECB to 5
percent from 20 percent.
•Power sector will further get a boost through the
availability of tax-free bonds.
•Surajit
10. • Impact Analysis
Y-o-Y growth of allocation to
infrastructure including power, road transport
,shipping ,urban infrastructure, and railways
together has increased by a mere 7.4 percent as
compared to 36.0 percent in 2011-12.
•For sectors such as port, allocation of tax free
infrastructure bonds remain unchanged at Rs.50
billion. While this will facilitate development of Port
infrastructure, the impact on these sectors will be
neutral ,if not negative.
•Sandy
11. •Healthy infrastructure spending holds the key to
facilitating economic growth in India.
•Inadequate infrastructure has time and again
exposed the Indian economy to supply side
constraints.
•Although the Y-0-Y growth in infrastructure has
been less than expected the mechanisms for
funding has been enhanced and it augurs well for
the overall development of infrastructure sector.
•Steffi