Schemes on the wayside

STILL IN THE WORKS

-Credit Guarantee Enhancement Corporation

-Social stock exchange to list social enterprises

-Move to make India hub for aircraft financing, leasing

-One Nation, One Grid” for power connectivity

-Clusters for traditional industry to aid 50,000 artisans

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Tribune News ServiceNew Delhi, February 1

Every Budget has proposals that either fail to take off or take too long to gestate. Union Finance Minister Nirmala Sitharaman’s first Budget last year also had proposals that have not made it past the drawing board.The biggest one such measure was the setting up of Credit Guarantee Enhancement Corporation which was free lending of up to Rs 3.5 trillion by banks to the infrastructure sector by providing guarantee to bonds issued by completed projects.

Sitharaman was also unable to ensure the setting up of a social stock exchange which was to ensure the listing of social enterprises and voluntary organisations to enable them raise capital as equity, debt or as units like mutual fund. Reportedly, SEBI is facing problem in valuing non-profit organisations and is now close to finalising draft norms.

While these two announcements are still in the works, little has been heard of the initiative to make India a hub for aircraft -financing and leasing activity with ambitions to enter an exclusive multi-billion dollar club of a handful of countries. Similarly, there is no word on last Budget’s announcement of public-private partnership to unleash faster development and completion of tracks, rolling stock manufacturing and delivery of passenger freight services.

This Budget saw Sitharaman spelling out stand-alone plans for national waterways, Railways and other sectors. For example, she spoke of expansion of the national gas grid from 16,200 km to 27,000 km. Still in-the-works is the previous Budget’s promise to take connectivity infrastructure to the next level by preparing a blueprint for developing gas grids, water grids, i-ways, and regional airports based on “One Nation, One Grid” model that promises power connectivity to states at affordable rates.

The previous Budget was bullish on self-help schemes as it was this time, but a progress report would have been helpful. In July 2019, Sitharaman announced 100 new clusters for traditional industries to enable 50,000 artisans join the economic value chain and move to set up 80 livelihood business indicators. A mention about where the schemes have reached would have given more credence to today’s Budget’s announcements to set up 500 fish farmer producing organisations.