Topics Covered: Government policies and other measures.
4th and 5th Tranche of measures towards Government Reforms and Enablers under Aatma Nirbhar Bharat Abhiyaan:
4th Tranche of measures are aimed at reforms in the eight sectors of Coal, Minerals, Defence production, Civil Aviation, Power Sector, Social Infrastructure, Space and Atomic energy.
- Private sector will be allowed to use ISRO facilities and other relevant assets to improve their capacities.
- Research reactor in PPP mode for production of medical isotopes shall be established. Facilities in PPP mode to use irradiation technology for food preservation shall also be established.
- For boosting private sector investment, Government will enhance the quantum of Viability Gap Funding (VGF) upto 30% each of Total Project Cost as VGF by the Centre and State/Statutory Bodies.
- Restrictions on utilisation of the Indian Air Space will be eased so that civilian flying becomes more efficient. India to become a global hub for Aircraft Maintenance, Repair and Overhaul (MRO).
- A Composite exploration-cum-mining-cum-production regime for minerals to be announced for enhancing Private Investments in the Mineral Sector.
- The distinction between captive and non-captive mines to allow transfer of mining leases and sale of surplus unused minerals production shall be removed.
- Commercial Mining in Coal Sector on revenue sharing basis instead of regime of fixed Rupee/tonne to be introduced. Coal Bed Methane (CBM) extraction rights will be auctioned from Coal India Limited’s (CIL) coal mines.
- FDI limit in the Defence manufacturing under automatic route will be raised from 49% to 74%. A list of weapons/platforms for ban on import will be notified. Corporatisation of Ordnance Factory Board to be implemented for improving autonomy and efficiency in Ordnance Supplies.
- Power Departments / Utilities in Union Territories will be privatised.
5th and last Tranche of measures!
An additional Rs 40,000 crore under MGNREGS to provide employment boost.
- The new Public Sector Enterprise Policy promotes the entry of private companies into every sector of industry, while limiting public sector enterprises to only strategic sectors.
- In strategic sectors, at least one enterprise will remain in the public sector but private sector will also be allowed. In other sectors, PSEs will be privatized.
- Decriminalisation of Companies Act violations involving minor technical and procedural defaults such as shortcomings in CSR reporting, delay in holding of AGM etc. to de-clog the criminal courts and NCLT.
- State governments have been given more fiscal room in the current crisis with the hiking of their borrowing limits from 3% to 5% of Gross State Domestic Product (GSDP). However, the hiked limits will be conditional on States implementing reforms related to ration portability, ease of doing business, power distribution, and urban local bodies.
- Public Expenditure on Health will be increased by investing in grass root health institutions and ramping up Health and Wellness Centres in rural and urban areas. Infectious Diseases Hospital Blocks to be setup in all districts.
- PM eVIDYA, a programme for multi-mode access to digital/online education to be launched immediately.
- Manodarpan, an initiative for psycho-social support for students, teachers and families for mental health and emotional well-being to be launched immediately as well.
- National Foundational Literacy and Numeracy Mission for ensuring that every child attains Learning levels and outcomes in grade 5 by 2025 will be launched by December 2020.
- Further enhancement of Ease of Doing Minimum threshold to initiate insolvency proceedings has been raised to Rs. 1 crore (from Rs. 1 lakh, which largely insulates MSMEs).
- Suspension of fresh initiation of insolvency proceedings up to one year, depending upon the pandemic situation.
- Central Government to be empowered to exclude COVID 19 related debt from the definition of “default” under the Code for the purpose of triggering insolvency proceedings.
- Direct listing of securities by Indian public companies in permissible foreign jurisdictions.
- Private companies which list NCDs on stock exchanges not to be regarded as listed companies.