Most dues of MSMEs cleared; govt looks to push infra spending: Finance minister Nirmala Sitharaman

Finance Minister Nirmala Sitharaman on Friday said the ministries have cleared most of the dues of goods and services to suppliers, mostly MSMEs, and the remaining payments will be done in the next few days

Press Trust of India September 27, 2019 18:08:27 IST
Most dues of MSMEs cleared; govt looks to push infra spending: Finance minister Nirmala Sitharaman
  • The minister said that ministries have been asked to provide detailed capital expenditure plans for the next four quarters as the government looks to boost growth with spending push

  • After meeting infrastructure ministries, Expenditure secretary GC Murmu, who was also present at the press conference, said that out the total outstanding dues of about Rs 60,000 crore, Rs 40,000 crore has been cleared

  • And the remaining amount, which is not involved in litigation, will be cleared by the first week of October, he said

New Delhi: Finance Minister Nirmala Sitharaman on Friday said the ministries have cleared most of the dues of goods and services to suppliers, mostly MSMEs, and the remaining payments will be done in the next few days.

The minister also said that ministries have been asked to provide detailed capital expenditure plans for the next four quarters as the government looks to boost growth with spending push.

After meeting infrastructure ministries, Expenditure secretary GC Murmu, who was also present at the press conference, said that out the total outstanding dues of about Rs 60,000 crore, Rs 40,000 crore has been cleared.

Most dues of MSMEs cleared govt looks to push infra spending Finance minister Nirmala Sitharaman

File image of finance minister Nirmala Sitharaman. PTI

And the remaining amount, which is not involved in litigation, will be cleared by the first week of October, he said.

This meeting assumed significance amid concerns raised by micro, small and medium enterprises (MSMEs) that their payments were not being cleared by the different wings of the government within time.

"Government should not sit on overdue payments," Sitharaman said, adding the money should go to people who have been waiting for it.

The money should reach the ground, she added.

The secretary further said that most infrastructure ministries have reached 50 percent of their Capex target for the current fiscal.

Sitharaman also said that the government's capital expenditure was on track and Budget estimates would be met.

The consumption was on the rise and credit offtake was growing, which together should result in "buoyancy" in the economy, she added.

To a query on the fiscal discipline with a rebate in corporate tax and expenditure, the minister said the government will reconcile fiscal deficit numbers later.

The finance minister will be meeting heads of public sector enterprises on Saturday to review capital expenditure plans.

Updated Date:

also read

Budget 2022: Fiscal support critical to funding cleantech for a sustainable future, net-zero emissions
Business

Budget 2022: Fiscal support critical to funding cleantech for a sustainable future, net-zero emissions

Union Budget 2022-23: Despite a sharper focus on renewable energy and India’s significant potential, offshore wind power has not yet been popularised

Budget 2022:  Why Nirmala Sitharaman must prioritise climate action, green economy
Business

Budget 2022: Why Nirmala Sitharaman must prioritise climate action, green economy

Union Budget 2022-23: Fighting climate change needs a systemic approach with equitable focus on decarbonisation and adaptation efforts

Budget 2022: Incentivise horticulture exports; build its competitiveness through infra at ports, railways
Business

Budget 2022: Incentivise horticulture exports; build its competitiveness through infra at ports, railways

Union Budget 2022-23: Investment in logistics with programmes like Gati Shakti will build an infrastructure grid for effective evacuation of marketable surplus