Lok Sabha Question No. 20 (STARRED), answered on 2021-11-29
Subject: Capital Expenditure and Infrastructure Progress
Ministry: FINANCE
Asked by: Kuruva Gorantla Madhav, Kotagiri Sridhar

## GOVERNMENT OF INDIA MINISTRY OF FINANCE DEPARTMENT OF ECONOMIC AFFAIRS

LOK SABHA

STARRED QUESTION No. *20

TO BE ANSWERED ON: Monday, November 29, 2021/Agrahayana 8, 1943 (Saka)

## Capital Expenditure and Infrastructure Progress

## QUESTION

## *20. SHRI KURUVA GORANTLA MADHAV:

## SHRI SRIDHAR KOTAGIRI:

Will the Minister of FINANCE be pleased to state:

- (a) whether the Government has undertaken any steps recently to give a boost to the capital expenditure and infrastructure progress in the country;
- (b) if so, the details thereof; and
- (c) the details of the capital expenditure achievements in this regard in the first 2 quarters i.e. Q1 and Q2 of the current financial year?

## ANSWER

## MINISTER IN THE MINISTRY OF FINANCE (SMT NIRMALA SITHARAMAN)

- (a) to (c) A statement is laid on the table of the House.

STATEMENT REFERRED TO IN REPLY TO LOK SABHA STARRED QUESTION NO. *20 RAISED BY SHRI KURUVA GORANTLA MADHAV: SHRI SRIDHAR KOTAGIRI:,  HON'BLE  MEMBERS  OF  PARLIAMENT  FOR  REPLY  ON  29 th NOVEMBER, 2021 REGARDING CAPITAL EXPENDITURE AND INFRASTRUCTURE PROGRESS

(a)  &  (b):    To  accelerate  capital  expenditure  for  creation  and  upgradation  of infrastructure  in  the  economy,  Government  of  India  had  launched  the  National Infrastructure Pipeline (NIP) with projected infrastructure investment of Rs. 111 lakh crore during the period 2020-2025 to provide world-class infrastructure across the country, and improve the quality of life for all citizens.  NIP was launched with 6,835 projects, which has expanded to over 9,000 projects covering 34 sub-sectors. NIP is expected to improve project preparation, attract investments into infrastructure, and play pivotal role in economic growth.

Union  Budget  2021-22  has  provided  a  capital  outlay  of  Rs.  5.54  lakh  crore,  an increase of 34.5% over Budget Estimate (BE) of FY 2020-21.  Over and above this, Government  will  also  be  providing  more  than  Rs.  2  lakh  crore  to  States  and Autonomous Bodies for their Capital Expenditure.

National Monetization Pipeline (NMP) was also launched on 23.08.2021 to unlock the value of investments in public sector assets by tapping private sector capital and efficiencies for delivering infrastructure services.  The monetization proceeds are  envisaged  to  be  ploughed  back  to  augment  existing/  create  greenfield infrastructure to boost the economy.

Gati Shakti (National Master Plan for Infrastructure Development) was launched on 13.10.2021  as  a  digital  platform  to  bring  Ministries/Departments  together  for integrated planning and coordinated implementation of infrastructure connectivity projects.  It will also facilitate the last mile connectivity of infrastructure and also reduce travel time for people.

Regular  review  meetings  by  line  Ministries  and  Cabinet  Secretariat  have  been undertaken  to  fast-track  capital  expenditure.    Union  Finance  Minister  also  took review  meetings  of  major  infrastructure  Ministries/  Departments  on  Capital Expenditure plans and suggested measures to expedite infrastructure investment, including front-loading of their capital expenditure.

To step up investment, infrastructure and growth, Union Finance Minister interacted with  Chief  Ministers  and  Finance  Ministers  of  States/  Lt  Governors  of  UTs  on 15.11.2021.  In the meeting, it was discussed that there is a monetizable asset base in states, which can be leveraged to enhance the capital available for new infrastructure creation and other social sector pressing priorities.

(c)  Till the end of Q2 (from April to September 2021), of current financial year (CFY), Ministries/ Departments have spent Rs. 2.29 lakh crore, which is 41% of the BE of Rs. 5.54 lakh crore.  The actual expenditure in CFY is about 38% higher than the corresponding expenditure in FY 2020-21.

***