Nirmala Sitharaman Reviews Capex Progress with Key Ministries

The objective is to assess the progress of Capex for the fiscal year 2024-25 and ensure timely execution of projects.

Union Minister for Finance and Corporate Affairs, Smt. Nirmala Sitharaman, has initiated a series of review meetings with various Ministries and Departments with significant Capital Expenditure (Capex) outlays. The objective is to assess the progress of Capex for the fiscal year 2024-25 and ensure timely execution of projects.

The first meeting, held today in New Delhi, focused on the Ministry of Road, Transport and Highways and the Department of Telecommunications (DoT) under the Ministry of Communication. Senior officials, including the Secretaries of the concerned departments, were present to discuss the budgeted Capex plans and their implementation status.

Department of Telecommunications (DoT)

During the review, the Secretary of DoT provided an update on several key projects, including the BharatNet Programme, 4G mobile projects utilizing indigenous technology, and the 4G saturation project aimed at improving connectivity in remote and difficult-to-reach areas. The Capex allocation for the Ministry of Communication for FY2024-25 is set at ₹28,835 crore.

The Secretary highlighted the progress of the BharatNet project, which seeks to provide affordable broadband services to rural and remote areas. Additionally, it was reported that 21,000 4G mobile towers have already been activated, serving approximately 30 lakh consumers. The 4G saturation initiative is on track, with a focus on covering aspirational districts and blocks.

Ministry of Road, Transport and Highways (MoRTH)

In the review of MoRTH’s Capex progress, the Secretary of MoRTH reported significant growth in the National Highway Network over the last decade, with an almost 2.4 times increase in the average annual construction of national highways between 2014-2024 compared to the previous decade. The Capex allocation for MoRTH has seen a substantial rise, from ₹1.42 lakh crore in FY2019-20 to ₹2.72 lakh crore in FY2024-25.

Efforts to attract private capital and meet asset recycling targets were also discussed. The Secretary assured the Finance Minister that the Capex plans for the remainder of FY2024-25 are on track, with measures being taken to expedite implementation.

Emphasis on Timely Execution

Finance Minister Sitharaman emphasized the importance of setting and achieving quarterly targets for Capex projects. She urged the Ministries to accelerate their efforts and recover any delays in Q3 of FY2024-25 to ensure that public utility assets are created in a timely and efficient manner.