FM LIVE: Govt ends coal mining monopoly, allows pvt firms in space research

Finance Minister Nirmala Sitharaman announcing details of special package at a press conference in New Delhi( Photo- Sanjay K Sharna)
Finance Minister Nirmala Sitharaman on Saturday unveiled the fourth set of stimulus measures to bring structural reforms in coal, minerals, defence production, aviation (airspace management, airports, MRO), power discoms in UTs, space and atomic energy sectors. The stimulus is part of Rs 20 trillion fiscal and monetary package announced by Prime Minister Narendra Modi to support the economy battered by the coronavirus pandemic.

On Friday, the government unveiled 11 measures aimed at supporting agriculture and farmers including an impetus on the fisheries sector. While eight of the measures aimed at financial support, three measures called for governance reforms. The Minister had on Thursday announced Rs 3.16 trillion support for vulnerable sections, including migrant workers, farmers, tribals, street vendors, and the middle class.. 

On Wednesday she announced measures of nearly Rs 5.94 trillion to provide relief to small businesses, taxpayers, shadow banks, power distribution companies, real estate, organised sector employees, and contractors working with the government.


LIVE UPDATES

Raising FDI limit in defence to boost 'Make in India': Amit Shah

Home Minister Amit Shah on Saturday said that a strong, secure and empowered India is PM Modi's topmost priority. Raising the FDI limit in defence manufacturing to 74% & banning import of selected weapons/platforms with year wise timelines will surely boost ‘Make in India’ & reduce our import burden, he added.

Department of Space will allow private players to carry out space activities: ISRO

Department of Space will follow the Government guidelines and enable private players to carry out space activities in the country: Indian Space Research Organisation (ISRO)

Announcements made today will prove to be game-changer: Defence Minister

FDI limit in defence manufacturing under automatic route has now been raised from 49% to 74%. This will unleash true potential of Indian defence production capabilities through ‘Make in India’. Announcements made today will prove to be game-changer: Defence Minister Rajnath Singh

Corporatisation will improve efficiency of Ordnance supplies & factories: Defence Minister

Today’s announcements made by PM Shri @narendramodi led Govt. will go a long way in unshackling the economy in many ways. Corporatisation of the OFB has been the  topmost priority of the Govt. The corporatisation will improve the efficiency of our Ordnance supplies & factories.

FM Sitharaman to announce fifth set of measures tomorrow

Finance Minister Nirmala Sitharaman will announce the fith set of measures to boost the economy tomorrow at 11 am. 

Atomic Energy-related reforms: Indian to establish research reactor

* Establish research reactor in PPP mode for the production of medical isotope
* Establish facilities in PPP mode to use irradiation technology for food preservation to compliment agricultural reforms and assist farmers
* Link India's robust start-up ecosystem to nuclear sector.
* Technology development cum incubation centres will be set up for fostering synergy between research facilities and tech- entrepreneurs

FinMin proposes reforms in the Space sector

* Private sector will be a co-travelers in India's space journey
* Will provide level playing field for private companies in satellite, launches, and space-based services
* Will provide predictable policy and regulatory environment
* Private sector will be allowed to use ISRO facilities
* Future projects for planetary exploration, out space travel to be open for private sector
* Liberal geospatial data policy for providing remote sensing data to tech-entrepreneurs

Social Infrastructure projects to be boosted by private investment

* Social Infrastructure projects suffer from poor viability
* Govt will enhance quantum of viability gap funding up to 30 per cent each of total project cost as VGF by Centre and State/Statutory bodies
* Government proposes an outlay of Rs 8100 crore
* Projects to be proposed by Central miniseries, state fovernment

Privatisation of Power Distribution in UTs proposed by Centre

* Privatisation of Power Distribution Companies in UTs
* Sub optimal performance of power, distribution and supply
* Will lead to better service to consumers
* DISCOMS inefficiencies not to burden consumers
* Standard of service and penalties for DISCOMs
* DISCOMs to ensure adequate power
* No regulatory assets
* Timely payment of Gencos
* DBT for subsidy

Aviation Sector reforms proposed by the government

Here are the proposed reforms in Airspace management
 
* Only 60% of Indian airspace freely available. Restriction on the utilisation of the Indian air space will be eased so that flying becomes more efficient
* It will bring a benefit of about Rs 1000 crore per year for aviation sector
* Optimal utilisation of airspace, prediction in fuel use, time
* Will have a positive environmental impact
* Six more airports are up for auction on PPP basis. Bid process to begin soon
* Additional investment worth Rs 13,000 crore expected by private players in 12 airports 
* AAI will get a down payment of Rs 2300 crore
* Plan to make India a hub for Maintenance, Repair, and Overhaul (MRO)
* Aircraft component repairs and airframe maintenance to increase from Rs 800 crore to Rs 2000 crore
* Major engine manufacturers in world would set up engine repair facilities
* Convergence between defence sector and civil aviation
* Maintenance costs will come down

Govt to notify a list of weapons/platforms for a ban on their import focus on indigenisation

Govt to notify a list of weapons/platforms for a ban on their import focus on indigenisation. Being done in consultation with the Department of Military Affairs
 
* Make in India for self-reliance in Defence Production
* Notify a list of weapons/platforms for the ban on import with year-wise timeliness
* Indigenisation of imported spares
* Separate budget provisions for domestic capital procurement
* Will help reduce the defense import bill
* Improve autonomy, accountability, and efficiency in Ordnance supplies by Corporatisation of Ordnance Factory Board
* Ordnance Factory Board to be corporatised
* FDI Limit being raised from 49% to 74%
* Time bound defence procurement process and faster decision making to be done
 

Proposed reforms in the mineral sector

* Introduction of seamless composite exploration-cum-mining-cum-production regime
* 500 mining blocks would be offered through open auction process
* Introduction of a joint auction of Bauxite and coal mineral blocks to enhance the Aluminum industry's competitiveness. 
* Remove the distinction between captive and non-captive mines
* Ministry of Mines developing a Mineral Index for difference minerals
* Rationalisation of stamp duty payable at the time of award of mining leases

Commercial mining to be inroduced in the coal sector

* Introduction of commercial mining in the coal sector
* Govt to introduce competition, transparency and private sector participation
* Commercial mining on a revenue-sharing base will end ownership bid. Any party can bid for coal block and seek in open market
* Entry norms will be liberalised with government to offer 50 blocks immediately
* No eligibility conditions required, only upfront payment with a ceiling
* Rs 50,000 crore will be spent for creating evacuation infrastructure
* Coal gasification, liquefication will be incentivised
 

Govt to announce structural reforms in 8 sectors

Here are the sectors in which the government is announcing structurasl reforms to bring new line of investments:

* Coal
* Mineral
* Defence production
* Airspace management
* Airports
* MRO
* Distribution companies in UTs
* Space
* Atomic energy

Upgradation of Industrial Infrastructure

* Schemes will be implemented in states through challenge mode for industrial cluster upgrdation of common infra facilities
* 3376 industrial parks/estates/SEZs in 5 lakh hectares mapped
* Industrial parks will be ranked in 2020-21

Govt announces policy reforms to fast-track investments

* Fast track investment clearance through Empowered Groups
* Project Development Cell in each ministry to prepare, coordinate with investors
* Ranking of states on investment attractiveness to compete for new investments
* Incentive scheme for promotion of New Champion sectors will be launched in sectors such as solar PV manufacturing, advanced cell battery storage and others

Structural reforms focus of announcement today

FM recalls policy changes adopted by the government 
 
* Direct Benefit Transfer
* Goods and Services Tax
* Insolvency and Bankruptcy Code
* Steps were taken for ease of doing business
* Direct taxation records
* Power Sector reforms

FM Sitharaman begins press conference

Finance MInister Nirmala Sitharaman said that we have announced relief for MSMEs and other sectors, PM has said that in building a self reliant Bharat, "We need to be self-reliant and strong enough to face the challenges of global supply chain. Many sectors need policy simplification, wherby we can make it simpler for people and bring in transparency and so on. Once we decongest sectors we can provide necessary boost for growth and employment."

Stay tuned, FM Sitharaman's press coference to begin shortly

Finance Minister Nirmala Sitharaman's press conference to announce the fourth set of measures is set to begin shortly. STAY TUNED!

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Congress leader Rahul Gandhi on Saturday said the government should not act like moneylender by giving credit; it should instead put money into the accounts of the poor. While interacting with the regional digital media over video conference, Gandhi said Prime Minister Narendra Modi should reconsider the package and fire up demand by giving money to the poor. He noted that if demand was not generated, the country would suffer a bigger loss economically than it might from coronavirus. Read More
Rahul Gandhi

Exports fall at fastest pace in 25 yrs in April due to coronavirus lockdown

India’s exports contracted by a record 60.28 per cent in April to $10.36 billion, shrinking for a second straight month as the Covid-19-induced lockdown took its toll on trade with other countries. The rate of fall in outbound trade was the most since at least April 1, 1995, as manufacturing units remained shut for the first 20 days owing to the nationwide curbs, and faced major logistics and supply-side hurdles later on. The country’s exports had declined by 34.57 per cent in March. Read More

Stimulus a giant step forward in helping farm sector attain global primacy

Crisis is a time for unified action and revisiting the assumptions of the past. The farm sector and farmers have observed the economic growth story of the country from the sidelines, often constrained by policies that outlived the economic realities within which they were designed. The slew of reforms announced as part of the Government’s stimulus package for the agriculture and allied sector promises to change the way farmers interact with the marketplace, introducing more actors in the processing and small food enterprises across agriculture and allied sectors. Read More

Coronavirus LIVE: Railways ferry 1.4 mn citizens in 1074 Sharmik trains

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Quick recap: FM's Day 3 stimulus focused on agriculture, allied activities get Rs 1.5-trn package

Finance Minister Nirmala Sitharaman will unveil the fourth set of stimulus measures, likely focusing on industries and sectors reeling from a nationwide lockdown to tackle the coronavirus pandemic. The stimulus is part of Rs 20 trillion fiscal and monetary package announced by Prime Minister Narendra Modi to support the economy battered by the coronavirus pandemic. On Friday, the government unveiled 11 measures aimed at supporting agriculture and farmers including an impetus on the fisheries sector. While eight of the measures aimed at financial support, three measures called for governance reforms. The Minister had on Thursday announced Rs 3.16 trillion support for vulnerable sections, including migrant workers, farmers, tribals, street vendors, and the middle class. Read More

Welcome to Business Standard LIVE Blog

Hello, 
Welcome to Business Standard LIVE Blog as we bring to you details from the fourth set of measures to be announced by Finance Minister Nirmala Sitharaman. 

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