Stimulus measures: Tenure for smartphone PLI extended by a year

Accordingly, the termination year of the scheme will now be FY26 instead of FY25. However, the outlay, investment and sales targets, base year, and incentive structure will remain same.

The Ministry of Electronics and IT has cleared 16 proposals from domestic and international companies entailing investment of Rs 11,000 crore under the PLI scheme to manufacture mobile phones worth Rs 10.5 lakh crore over the next five years.

The government has extended the tenure of production-linked incentive scheme for smartphones by a year as several manufacturers were unable to meet the first year (FY21) sales target due to Covid-led disruptions.

Accordingly, the termination year of the scheme will now be FY26 instead of FY25. However, the outlay, investment and sales targets, base year, and incentive structure will remain same.

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The government has also made an additional allocation of Rs 19,041 crore for the ongoing BharatNet broadband project. With this the total outlay for the project will be Rs 61,109 crore, including the already approved amount of Rs 42,068 crore in 2017. This does not burden the government’s fiscal position as funds for BharatNet are provided from the universal service obligation fund where around Rs 55,000 crore is lying unutilised.

Finance Minister Nirmala Sitharaman said Rs 42,068 crore has been already utilised for reaching 1,56,223 gram panchayats that are now ready for broadband services as of May 31.

“Now with this additional Rs 19,041 crore we should be able to complete the rest,” Sitharaman said.

Discom reforms: Centre share at Rs 97K cr

New Delhi: Finance Minister Nirmala Sitharaman said states have been allowed Rs 1,05,864 crore of additional borrowing in FY22 as a part of the credit leeway announced in May 2020.

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States have been asked to take steps to improve the discoms’ corporate governance and increase intervention of IT-enabled infrastructure to lower pilferage in power supply to avail a part of the increased net borrowing permitted by the government.

The discom reform scheme, the latest in a series of four over the last two decades starting with the accelerated power development and reforms programme unveiled in 2001, is seen to address the core issues of billing-collection inefficiencies and pilferage that cripple the sector. Of the Rs 3.03-lakh-core assistance, envisaged over 5 years under the scheme, the Centre’s share will be Rs 97,631 crore. —FE

PM: New steps to generate jobs

NEW DELHI: Prime Minister Narendra Modi said on Monday that a host of measures announced by Finance Minister Nirmala Sitharaman will help stimulate economic activities, boost production and exports, and generate employment.

In a series of tweets, he said decisions will enhance public health facilities. “The measures will help to stimulate economic activities, boost production & exports and generate employment.” —with PTI

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Trade talks ‘positive’, govt says will intensify efforts to close US deal early

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India and the US have resumed trade negotiations after the US imposed tariffs on India for buying Russian oil. The sixth round of talks will focus on recognising India's red lines and possibly increasing energy purchases from the US. Other topics include easing patent rules, data flows, and giving US firms procurement access.

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