Tag: Features

Procurement of goods and services is one of the important activities of the Government. Substantial amount of money is being spent towards procurement covering Goods, Works and Services across the country. In view of its importance, the Government has identified e-Procurement as one of the Mission Mode Projects (MMP) under the National e-Governance Plan (NeGP). Department of Commerce has given the responsibility to NIC for implementing the e-Procurement solution developed by NIC in the State Governments under the MMP. In the case of central government organizations, in pursuance to the recommendations of the Committee on Public Procurement and the decisions thereon of the Group of Ministers constituted to consider measures to tackle corruption and ensure transparency, the Department of Expenditure has taken action for setting up a Central Public Procurement Portal (CPP Portal) through NIC and move towards e-Procurement in a phased manner.
The e-Procurement System will enable disclosure of information on procurements made across various government organizations. It aims at transparency and non discrimination amongst bidders, by allowing free access to tender documents, clarifications, secure online bid submission and access to bid opening event to participating bidders from any place through Internet.
The objective under MMP is to implement e-Procurement System in all State Governments by March 2013. In the case of Central Government organizations, e-Publishing of tender enquiries and related details are made mandatory for adoption in all the Central Government organizations by April 2012.
e-Procurement System Developed By NIC
NIC has developed a generic e-Procurement solution called GePNIC (Government e-Procurement system from NIC) which can easily be adopted by the government organizations for all kinds of procurement activities such as Goods, Services and Works. The system has been designed taking into account the tender rules followed in various states and the CVC’s guidelines on tendering. The system provides secured access to the site using Digital Signature Certificate and has role based access to the departmental officials.
The main functionalities covered under GePNIC are – Registration of Government officials under different roles; Registration of Bidders; Tender Creation (Multiple Covers) and Publishing; Publishing of Corrigendum and decisions of Pre-bid meeting; Online Bid submission by the Bidders; Online Tender opening and decryption of Bids at various stages; Evaluation of Tenders; and Award of Contract.
Security Features of GePNIC
The GePNIC system has strong in-built security features including two-factor Authentication with Digital Signature Certificates (DSCs) as per IT Act, usage of Secured Socket Layer (SSL), Role-based User Access and Bid-encryption at client-end using PKI technologies. The GePNIC system has been security audited by STQC and other third party agencies.
Implementation Status
The GePNIC system is in use since November 2007 and more than 97,000 e-Tenders have been floated using the system with procurement value worth more than ` 125,000 crores.
It has been implemented successfully in 16 State Governments till Dec 2011.
Implemented for procurements under Pradhan Mantri Gram Sadak Yojana (PMGSY) of Rural Development Ministry in 21 states including some of the North Eastern states.
Implemented in Directorate General of Supplies & Disposal (DGS&D), Mahanadi Coal Fields Limited (MCL), Visakhapatnam Port Trust, NICSI and others
The Central Public Procurement Portal has been launched on 1st January 2012 in association with Department of Expenditure (http://eprocure.gov.in).
Rollout Model
Under MMP, the cost towards back-end hardware, storage and related systems required at the Data Centre are taken care of by the Department of Commerce for implementation in 23 States. The end users will have to take care of only the front-end resources such as Desktop system, NICNET/Internet connectivity, Printer and Scanner. In the case of central government of organizations, NIC will take care of the back-end hardware, storage and related systems at the Data Centre. For providing handholding support, NIC has created 24×7 Helpdesk facility with a toll free number.
For additional handholding support and training, the implementing organizations can make use of the roll out agencies empanelled by NICSI, as per the needs of the organizations. The rollout model for GePNIC solution does not envisage any fee/charge from suppliers/bidders for their portal registration or bid submissions. (PIB Feature).
Inputs from the Department of Information Technology.

Read more / Original news source: http://manipur-mail.com/e-procurement-system-for-transparent-governance/

Procurement of goods and services is one of the important activities of the Government. Substantial amount of money is being spent towards procurement covering Goods, Works and Services across the country. In view of its importance, the Government has identified e-Procurement as one of the Mission Mode Projects (MMP) under the National e-Governance Plan (NeGP). Department of Commerce has given the responsibility to NIC for implementing the e-Procurement solution developed by NIC in the State Governments under the MMP. In the case of central government organizations, in pursuance to the recommendations of the Committee on Public Procurement and the decisions thereon of the Group of Ministers constituted to consider measures to tackle corruption and ensure transparency, the Department of Expenditure has taken action for setting up a Central Public Procurement Portal (CPP Portal) through NIC and move towards e-Procurement in a phased manner.
The e-Procurement System will enable disclosure of information on procurements made across various government organizations. It aims at transparency and non discrimination amongst bidders, by allowing free access to tender documents, clarifications, secure online bid submission and access to bid opening event to participating bidders from any place through Internet.
The objective under MMP is to implement e-Procurement System in all State Governments by March 2013. In the case of Central Government organizations, e-Publishing of tender enquiries and related details are made mandatory for adoption in all the Central Government organizations by April 2012.
e-Procurement System Developed By NIC
NIC has developed a generic e-Procurement solution called GePNIC (Government e-Procurement system from NIC) which can easily be adopted by the government organizations for all kinds of procurement activities such as Goods, Services and Works. The system has been designed taking into account the tender rules followed in various states and the CVC’s guidelines on tendering. The system provides secured access to the site using Digital Signature Certificate and has role based access to the departmental officials.
The main functionalities covered under GePNIC are – Registration of Government officials under different roles; Registration of Bidders; Tender Creation (Multiple Covers) and Publishing; Publishing of Corrigendum and decisions of Pre-bid meeting; Online Bid submission by the Bidders; Online Tender opening and decryption of Bids at various stages; Evaluation of Tenders; and Award of Contract.
Security Features of GePNIC
The GePNIC system has strong in-built security features including two-factor Authentication with Digital Signature Certificates (DSCs) as per IT Act, usage of Secured Socket Layer (SSL), Role-based User Access and Bid-encryption at client-end using PKI technologies. The GePNIC system has been security audited by STQC and other third party agencies.
Implementation Status
The GePNIC system is in use since November 2007 and more than 97,000 e-Tenders have been floated using the system with procurement value worth more than ` 125,000 crores.
It has been implemented successfully in 16 State Governments till Dec 2011.
Implemented for procurements under Pradhan Mantri Gram Sadak Yojana (PMGSY) of Rural Development Ministry in 21 states including some of the North Eastern states.
Implemented in Directorate General of Supplies & Disposal (DGS&D), Mahanadi Coal Fields Limited (MCL), Visakhapatnam Port Trust, NICSI and others
The Central Public Procurement Portal has been launched on 1st January 2012 in association with Department of Expenditure (http://eprocure.gov.in).
Rollout Model
Under MMP, the cost towards back-end hardware, storage and related systems required at the Data Centre are taken care of by the Department of Commerce for implementation in 23 States. The end users will have to take care of only the front-end resources such as Desktop system, NICNET/Internet connectivity, Printer and Scanner. In the case of central government of organizations, NIC will take care of the back-end hardware, storage and related systems at the Data Centre. For providing handholding support, NIC has created 24×7 Helpdesk facility with a toll free number.
For additional handholding support and training, the implementing organizations can make use of the roll out agencies empanelled by NICSI, as per the needs of the organizations. The rollout model for GePNIC solution does not envisage any fee/charge from suppliers/bidders for their portal registration or bid submissions. (PIB Feature).
Inputs from the Department of Information Technology.

Read more / Original news source: http://manipur-mail.com/e-procurement-system-for-transparent-governance/

(PIB Feature).
Inputs from the Ministry of MSME
The Government launched the Credit Guarantee Fund Scheme for Micro and Small Enterprises in August, 2000 with the objective of making available credit to Micro and Small Enterprises (MSEs) for loans up to Rs. 100 lakh without collateral/third party guarantees. First generation entrepreneurs in MSE sector find it difficult to access credit from the organized banking sector. The banks on their part are concerned about the likely defaults in small loans and hence try to collateralize their exposure to the small borrowers. Keeping this in mind, it was thought fit to create the instrument of Credit Guarantee to enhance the comfort level of the banks for financing loans, as well as a new gateway for MSE entrepreneurs to get funding without collateral security and/or third party guarantee. The scheme is being operated by the Credit Guarantee Fund Trust for Micro and Small Enterprises (CGTMSE) set up jointly by the Government and SIDBI.
The scheme covers collateral free credit facility (term loan and/ or working capital) extended by eligible lending institutions to new and existing micro and small enterprises up to Rs. 100 lakh per borrowing unit. The guarantee cover provided is up to 75% of the credit facility up to Rs.50 lakh with an incremental guarantee of 50% of the credit facility above Rs.50 lakh and up to Rs.100 lakh (85% for loans up to Rs. 5 lakh provided to micro enterprises, 80% for MSEs owned/ operated by women and all loans to NER). One time guarantee fee of 1.5% of the credit facility sanctioned (0.75% for NER including Sikkim) and Annual Service Fee of 0.75% is collected from Member Lending Institutions (MLIs). The corpus of CGTMSE is contributed by the Government and SIDBI in the ratio of 4:1. At present the corpus is around Rs.3300 crore which enables substantial enhancement in the credit flow to MSEs by leveraging it many times over.
A total of 125 Member Lending Institutions comprising of 26 Public Sector banks, 18 Private Sector Banks, 68 Regional Rural Banks (RRBs), 4 foreign banks and 9 other Financial Institutions have been registered which allows a wide coverage across country.. CGTMSE has been recognised internationally and has been made a member of the Asian Credit Supplementation Institutions Confederation (ACSIC), which promotes sound development of the credit supplementation system for Micro and Small Enterprises in the countries of Asia through exchange of information, discussions and interchange of personnel among credit supplementation institutions. CGTMSE was chosen to host the 24th ACSIC Conference, a annual conference for Heads of Guarantee Organisations of Asian region for the first time in India during October-November, 2011.
The scheme has helped around 7 lakh entrepreneurs by providing guarantee & enabling them loans worth more than Rs. 31 thousand crore. Success stories abound, from a small taxi driver to steel equipment manufacturer. Some of these stories are narrated below.
Driving Life, Collateral Free
Ghanshyam Dubey, a taxi driver in Mumbai, tells us how easy his life has become, thanks to the CGTMSE. In the 30 years of his driving career, the past owner of six cars had to struggle to raise loans. Without collaterals he could not get a loan from a bank and would typically be forced to look at the unorganized sector for funding. This time, however, he approached an MLI of CGTMSE, which not only gave him the loan without collateral but also helped him with all the paper work. Ghanshyam says his loan was sanctioned in a record 3 days time. Talking about his experience, he says that while his colleagues had to wait for more than 20 days just to clear the paper-work, his taxi was at his front door in just 5 days. All he has to do now is pay his monthly installments through post dated cheques. With his current monthly income he can now provide quality education to his children and take care of their other needs without any hassle. The Trust has presented him with a better life.
Funding Modernization
Raju Mathews, a steel equipment manufacturer in Mumbai, was faced with the proposition of modernizing his machinery involving an investment close to Rs 70 lakh. Changing his decade old equipment was essential to make his upcoming delivery, which meant he was running against a deadline to raise funds. The entrepreneur of 14 years, Raju approached an MLI of CGTMSE for a loan after learning of a scheme for MSEs, which provided a subsidy. Raju was hoping for more than a subsidy in a tough market. Could someone help him with collateral? Fortunately, Raju’s requirement was eligible under CGTMSE scheme which gave him a credit guarantee cover. The whole sanctioning process was completed in time for his delivery. Raju’s company manufactures steel equipment and makes them available in the markets of Iran, Africa, Vietnam, Bangladesh and Sri Lanka, apart from selling it in India. His enterprise now boasts of a turnover of around Rs. 4 crores during the first quarter of FY 2011 as against the turnover of Rs. 15.45 crores during the previous year. The company now has a manpower of around 25 employees.
Life Sciences Entrepreneur All Praise For Collateral-Free Loans
Nidhi Saxena’s dream of floating her own company bore fruit in 2005. After having served 15 years in the IT and the BPO industry, she was keen to become an entrepreneur. This had been her goal ever since she completed her MBA from the SP Jain College, Mumbai, in 2002. Sensing unlimited potential in the life sciences business, Nidhi took the plunge and started Karmic Life Sciences with a fund of Rs. 80,000 backed by an angel investment. Initial year’s success meant that Nidhi had to raise funds to grow her business but she had no collateral to raise loans from banks. Private equity funding was her first natural choice until her angel investor, Indian Internetwork, put her on to an MLI of CGTMSE for collateral free loans. After evaluating Nidhi’s requirements, the MLI recommended the CGTMSE scheme and explained to her how the Trust can help her not only in getting a collateral free loan but also get timely advisory assistance. Since the fund requirement was higher than what CGTMSE could cover, it was decided that a mix of loan and equity investment could be worked out under the small and medium enterprise promotion loan of the MLI. The only thing Nidhi had to assure was the promoter’s guarantee.
Moreover, CGTMSE scheme gave her business a clear window to pay back in easy quarterly installment, a real boon for a startup. Today, with about 45 professionals in its fold, Karmic Life Sciences is on the growth path. The company which is aiming at Rs. 8 crore turnover in 2011, has already got into the US market. The company has a 12,000-square feet facility in Mumbai. It is planning to go for full Gold Standard in terms of information security by September 2010. It also plans to set up a sales office in the US. Nidhi’s company is also working towards setting up a cancer hospital in India. Contented with the collateral-free loans availed by her, Nidhi now recommends the Trust to potential entrepreneurs.
CGS Puts Dattaray In Driver’s Seat
Dattaray Wedhikar’s career as an entrepreneur had begun when he set up a small scale unit called Bharti Industrial Corporation in Mumbai that manufactured components for sheet metal press. He was soon joined in the business by his son Sri Rajendra Wedhikar, who had just completed his Diploma in Engineering. Dattaray realized that Pune, which was then emerging as an industrial city, offered immense expansion potential for their business. The Maharashtra Industrial Development Corporation (MIDC) area in Bhosari, Pune, accommodated several industrial enterprises belonging to the MSME and large scale production sectors. Most of the MSMEs in the area were engaged in manufacturing automobile parts, components and small components as they fulfilled the role of OEM suppliers for large auto manufacturers based in India and overseas. Sensing an opportunity there, the Wedhikars relocated to Pune and set up a small unit in Bhosari in 1983 named Datsons Engineering Works, for supplying components mainly to TELCO. Dattaray raised the capital for this project by selling his modest flat in Mumbai and his meager savings. In its initial years, the unit struggled to provide adequate returns on the investment. It was crippled by poor infrastructure and the lack of a steady supply of raw materials, and their equipment that was unable to function at high capacities. Despite these problems, the unit was able to grow with the help of loans from a leading Public Sector Bank. The unit was aided in its growth momentum by the bank’s branch in Pune that provided four loans with collateral security in the unit’s initial years.

Read more / Original news source: http://manipur-mail.com/credit-guarantee-fund-scheme-for-msme/

Alok Deshwal
(PIB Feature).
Deputy Director (Media & Communication)
As one of the oldest and greatest civilizations of the world, India indeed has an incredible story to tell about its rich and glorious past.The treasures of its golden past are kept in its museums for the mankind to see, enjoy and cherish. There are over a thousand museums in India, both large and small. Over 90 percent of these are funded and maintained by the Central and State Governments and few renowned museums have also been set up through private efforts. The Archaeological Survey of India itself manages 44 site museums located near important historical sites, some of them in the remotest parts of the country like Dholavira and Lothal in Gujarat and others at well-known World Heritage Sites such as Agra.
Some of the oldest museums were established by the British and their collections were a combination of natural history and antiquarian remains like the 197 year old Indian Museum, Kolkata (which will be celebrating its 200th anniversary in 2014) Victoria Memorial Hall, Kolkata and Chhatrapati Shivaji Maharaj Vastu Sangrahalaya, formerly Prince of Wales Museum, Mumbai.
Museums have always played an important role in our society by bringing us closer to our roots and making us aware of our glorious past. Museum visits as an integral part of school life were important events, which shaped our understanding of the growth of human life on earth.
It is in this context that Jay Winter, American Historian has said that, “Museums are, in a way, the cathedrals of the modern world, places where sacred issues are expressed and where people come to reflect on them. A museum is also a kind of bridge between the academy and the public.”
However, of late museums across the country have suffered a down-turn, both in terms of their working and their public image as they have not been able to keep pace with the international best practices in the field. There is a severe shortage of museum professionals in the country because of which the museum sector has suffered a setback. This is amply clear from the fact there is a high vacancy rate in almost all the National level museums in the country. Due to the unavailability of dedicated professionals many of the museums in the country today are in a state of neglect, being managed by staff with little or no knowledge or professionalism in their business.The need for modernization and up-gradation of museums in India has been felt and expressed for several decades. In the light of much needed reforms in the field the Ministry of Culture has proactively pursued a path of initiating museum reforms. After brainstorming with Museums Experts and Directors, The Museum Reforms Programme was instated by the Ministry of Culture, to address 14 key concerns in the Museum Sector. These concerns are:
Collection & Stores Management
· Introduce computer aided collections management.
· Verify physically stocks with registers/database.
· Modernize methods of storage and retrieval & introduce visible storage.
· Develop adequate storage facilities.
· Control/filter atmospheric heat, dust, humidity, light and pest in Stores.

· Take professional quality digital photos of stored items.
· Upload entire collections’ database with images of objects online.
Proper/Scientific Display of Artefacts

· Design and develop exhibit-specific display systems.
· Up-grade display techniques on professional lines.
· Introduce atmospheric control of heat/cold, humidity, dust, etc. in Galleries.
· Modernize lighting with power-saving/auto switch & heat control.
· Have variety in gallery presentations, with other ‘attractions’ interspersing.
· Circulate periodically displayed materials, from Store to Gallery.
Information, Signages, Floor Plans & Visitor Facilities

· Set up ‘Visitor Interpretation Centres’, & give different options to them.
· Improve Object Interpretation Board, communication strategies/narratives.
· Introduce Braille plaques for the visually impaired visitors.
· Arrange attractive videos and digital shows and hands-on activities.
· Put interactive strategies, touch screen kiosks, ‘sound posts’, etc.
· Print international-standard guide-books with floor plans/signages.
· Keep comfortable benches & resting places, and nooks/seating corners.
· Drinking water facilities and clean toilets with signages.
· Set up cafeterias, vending machines and spaces to interact.
· Have flexible and extended visiting hours, with some special ‘free days’.
· Engage enthusiastic volunteers as museum assistants, to guide visitors.
Museum Shops and Souvenirs

· Set up proper Museum/Souvenir Shops, preferably on PPP model
· Merchandise professional selected museum items, for souvenirs.
· Produce, with ‘class’, replicas, prints, postcards, albums etc.
· Publish world-class books & catalogues, through the best available.
· Arrange inter-museum & outsourced sale of books/catalogues & CDs.
· Promote/market India’s heritage as a brand, through all museum shops.
· Approach corporates to popularize museum culture through gifts.
Multi-Media, Audio Visual & Guide Facilities

· Design, and continuously update, website & information systems.
· Introduce museum related activity cum technical research blogs.
· Digitize important stored artefacts for ‘Virtual Guide’, CDs and Websites.
· Introduce / improve audio guides: work on time-bound plans.
· Set up LCD panels, to display digitized artefacts on videos and power points.
· Introduce 3-D holographic projections, simulated images & virtual reality.
· Set up interactive sound & talking trees, musical clocks & other attractions.
Attract Various Audience Segments, including Students/Children

· Plan the calendar of events for the entire year, and more, if possible.
· Send newsletters and keep updating mailing lists, through visitor registers.
· Arrange special training for Education Officers, PROs & ‘Guides’ for this work
· Plan ‘Out-reach’ programmes for different segments, target specific.
· Design invitation cards, brochures, fliers both artistically and professionally.
· Organize regular interactive programmes and set up ‘children’s corners’.
· Formalise networks with schools and colleges, on a regular basis.
· Introduce ‘Collections Identification & Authentication’ facility for collectors.
· Encourage small online exhibitions to be curated by museum enthusiasts.
Image Building, Publicity and Cultural Events.

· Have well dressed and polite museum assistants/guides & cafeteria staff.
· Plan campaigns, highlighting interesting facets & get feedbacks.
· Issue attractive advertisements and informed articles in the media.
· Set up and invigorate ‘Friends of Museum’ & also meet them.
· Celebrate regularly ‘World Days’, ‘State Functions’ and ‘Special Events’.
· Organize cultural performances and other outreach programmes.
· Harmonize tangible & intangible cultural heritage, seamlessly.
· Attract corporate sponsors with special exhibitions for their clients.
· Engage event-managers marketing/sales team & communication specialists,
Visiting & Travelling Exhibitions

· Invite exhibitions & inter-museum exchanges, including with ASI museums.
· Establish curator panels and plan multiple curatorial themes, in advance.
· Keep updating policies for exhibitions abroad, through regular feedbacks.
· Curate exhibitions abroad – have different policies for art & antiquities.
· Formulate scientific policies regarding valuation, insurance, etc. for exhibits.
· Plan exhibitions (both internal & external) professionally on global standards
· Insist on proper reciprocity from foreign museums/galleries.
· Publish world class catalogues for each exhibition in India or abroad.
Expansion & Acquisition of Collections

· Revisit art purchase procedures and committees, with transparency.
· Frame policies to encourage donors, i.e., tax exemption, publicity, etc.
· Devise ‘loan policies’ for short, medium & long term loans.
· Prepare policy on bequeaths & have proper screening/evaluation methods.
· Set up search committees and negotiating teams, to locate/buy rare items.
· Frame policies for de-accessioning of unwanted/unrelated collections.
Professional Development of Museum Personnel

· Organise HRD training & expose personnel to international standards.
· Encourage courses and exchanges of best practices, through visits.
· Facilitate studies, researches to bring out better publications.
· Utilize Visiting Fellows to unravel treasures within museums.
· Conduct professional courses in museum studies & collections management
· Start online/correspondence courses in museum studies & heritage management.
· Collaborate with Open Universities & conservation laboratories.
· Publicise available courses for wider dissemination, at nodal points.
· Devise administrative structure/emoluments for good career management
· Engage specialized professionals, on contract/tenure basis, for emulation.
Implementation of Plan Schemes & special projects

· Ensure optimum utilization of funds, through prior planning.
· Make monthly activity charts and conduct reviews /self-assessments.
· Outsource work to professional agencies, where required.
· Undertake long term planning, rather than adhoc improvements.
· If possible & permitted, create public private partnerships.
· Invite, with proper approval, specific projects from outside.
Security: Modern Techniques

· Upgrade security systems & install latest cameras/surveillance systems.
· Deploy CISF, armed police, except inside museum galleries.
· Retain own security, for gallery watch & other duties.
· Introduce aesthetically pleasing dress for in-house security personnel.
· Install fire-fighting devices/techniques and undertake regular trials.
· Revisit display storage plans on security /fire-fighting considerations.
· Maintain friendly, terror/stress free atmosphere in museum galleries.
Conservation and Restoration

· Set up or upgrade conservation laboratories and modeling workshops.
· Build capacities for in-house expertise for conservation and restoration.
· Upgrade regularly, conservation and restoration techniques, through training.
· Utilize domain-specific external expertise and learn latest technologies.
· Extend this domain knowledge to smaller museums.
· Outsource, where necessary, and imbibe newer techniques.
· Publish technical research & conservation treatment bulletins.
· Organise special workshops outside, for basic collections care.
Interactions with Academics, Archaeologists and Artists

· Institutionalize a proper network with different relevant domain experts.
· Organize cooperation with academics/experts through regular workshops.
· Encourage onsite exposure of museum personnel for experience.
· Encourage museum personnel to make presentations before academics.
· Strengthen networking through professional bodies like ICOM, MAI etc.

An MoU was signed in 2010 with British Museum, Victoria & Albert Museum and British Library, London and the Ministry of Culture (on

behalf of Indian Cultural Institutions) to strengthen and enhance friendly cultural relations and promote cultural cooperation and

exchange. The MoU offers an appropriate platform for collaboration and sharing of best practices in different areas of Museum

Management.

The Ministry has recently initiated the Leadership Training Programme for in-service museum professionals in India in collaboration with

the British Museum, London. This is the first Leadership Training being organized for museums in India. The Programme is being

coordinated by the National Culture Fund, an autonomous body under the Ministry of Culture that facilitates public private partnerships

for the preservation of arts and heritage in India. The Training Programme will include intensive training sessions on Curation, Museum

Education, Design & Display, Scientific Storage, Conservation & Preservation, Museum Marketing, Outreach and Collection

Management. 20 museum professionals from 12 Indian museums will undergo this six month Leadership Training in Delhi, London and

Mumbai respectively. They will take part in three sessions of training which have been specially created to balance the theoretical with

the practical, building on participants existing skills and advising on museum best practice. The training has been carefully shaped to

ensure participants can immediately apply and share their knowledge and skills within their organisations. The first session was

commenced in Delhi in January 2012, the second in London will be in March, and the final session in Mumbai will be in May. This will

ensure the training has the highest possible impact and takes advantage of local conditions.

Museums are increasingly engaging personnel with a wide variety of skills to increase their profile and remain relevant to 21st century

audiences. While academic scholarship remains the bedrock of our organisations, it is increasingly acknowledged that this work benefits

from, and is enhanced by individuals with different specialisms. The range of practitioners involved in conducting the training programme

is broad. Among many others, sessions will be taught by specialists in strategic planning, project management, exhibition display,

education, communications, marketing, digital technology, conservation and security, drawing on their extensive first-hand experience of

working museum environments. This programme will generate museum leaders who will further train museum professionals all across the

country to create a rich web of world class museums in India.

As part of the training programme, Indian scholars will be given substantial access to the British Museum’s world collection and will be

encouraged to share their invaluable knowledge, particularly of the Indian collections. The exchange of knowledge between Indian and

British Museum scholars will be strongly encouraged and it is hoped will form a foundation for future collaboration in the areas of

research and publication as well.

Read more / Original news source: http://manipur-mail.com/6060/

Suman Gazmer
PIB : A progressive farmer from Radang in East Sikkim, Bishnu Kumar Rai has embraced floriculture as a livelihood option since 2008. He cultivates roses in a 650 sq feet land and a green house provided by the State horticulture department.
Rai was first introduced to floriculture by his wife who attended a week long training programme supported by the State horticulture department on General Green House Management at the Horticulture training centre, Talegaon Dabhade in Pune. Later, he acquired further knowledge on floriculture by attending a training programme organized by the department and started reaping the dividends. He has constructed a 80 X 18 feet green house with his own contribution and help from State horticulture department.
So far, this year, Rai has sold roses worth Rs. 1 lakh 60 thousands and is hoping to cross Rs. 1 lakh 70 thousand in sales by the end of this year from the 5000 planted saplings. The selling price of rose per stick is Rs. 3 during off-season and Rs. 5 in peak season.
Having taken up floriculture three years ago, this horticulturist has made Rs. 96,000 in the first year and Rs. 1.45 lakhs in the second year through sales. He follows the drip irrigation technology which saves water and fertilizer by allowing water to drip slowly to the roots of the plants, either on the soil surface or directly into the root zone through a network of valves, pipes, tubes and emitters.
After gaining experience in rose cultivation, Rai has branched off to cultivate Jarvera from April 2011 and has already earned more than Rs. 30,000 by selling cut flowers. He is selling 100 sticks every day at the rate of Rs 4 per piece. It is easy to cultivate Jarvera as compared to rose as risk of disease is very less in it and Jarvera blossoms 12 months a year, he said. He is expecting to earn Rs. 50,000 to Rs. 60,000 from 800 plants this year and receives whole hearted support from his wife in this profession.
This energetic farmer has a future plan to develop his area as a floriculture belt and remains committed to cultivate flowers suitable in his 1 acre land. He has not limited himself to flowers but has been cultivating vegetables for almost two decades. He grows cabbages, cauliflower, broccoli, carrot, tomato and other green vegetables.
Rai had won the 2nd prize of Rs. 15,000 along with a certificate during the Horticulture Show 2011 held at Saramsa. He had also bagged a cash 3rd prize of Rs. 5,000 in vegetable (tomato) category during the Kharif Kisan Mela 2008 held at Saramsa.

Read more / Original news source: http://manipur-mail.com/floriculture-a-gainful-livelihood-option/

On the eve of 64th Army Day, the Chief of Army Staff Gen V K Singh, told Asia Defence News Editor-in-Chief P N Khera in an exclusive interaction that he would like to assure his fellow countrymen that the Indian Army is fully prepared to meet any security challenges to the country. He said we have always made you proud and will continue to do so in future also. He further said, “Our predecessors have worked tirelessly and made supreme sacrifices to make the Indian Army the epitome of excellence and selfless service that it is today. It is now imperative upon us that we continue the good work done by them and achieve higher standards of professional excellence and serve with honour, dignity and live up to the expectations of the country”. He added, “I would like to request that Servicemen’s problem should be understood by the people and necessary support given to them to defend our country without looking over their shoulders for the welfare of their families”. Stressing that the Indian Army was fully prepared to combat internal and external threats, he said that was its priority.
He was happy and satisfied that projects he had initiated for the upgradation and capacity enhancement at various times were under process in the systems which did take their own time. He was confident that the Army would soon get all that it needed as import of guns and equipment was on the right track. He also pointed out that discipline and transparency were an act of faith of the Army and were being maintained strictly. There was no quarter for the corrupt. Action against the guilty will always be swift and exemplary.
He dwelt at length on the current South Asian security scenario, multi-dimensional threats, induction of new weapons and technologies, common regional challenges, border security concerns and cooperative security approach.
Fielding a wide range of questions, the Army Chief also explained gains of joint exercises, contemporary training, development of niche skills, import of artillery guns, capability enhancement, anti-militancy operations and minimum force doctrine.
Issues like changing nature of threats, one rank-one pension, Indian Army’s role as model peacekeeping force, disaster management, Armed Forces tribunal were also touched upon during the exclusive interaction. We present below some excerpts : MULTI-DIMENSIONAL THREATS
P. N. Khera: What are the internal and external challenges before the Indian Army today and how well are we prepared to meet the emerging situation?
Gen V K Singh, Chief of Army Staff : The contemporary security environment is dynamic and poses threat across the entire spectrum of conflict, to include both conventional and unconventional scenarios. These range from ‘traditional threats’ along our borders to ‘asymmetric threats’, including proxy war. Towards that end, strengthening of our security apparatus, to combat both internal and external threats, remains our priority.
In our preparedness to meet emerging situations continuous efforts are being made to meet conventional as well as sub-conventional challenges. Also, it is ensured that Army remains fully equipped, trained and ready to face any contingency arising in entire spectrum of conflict.
NEW WEAPONS AND TECHNOLOGIES
PNK : In terms of the modern military doctrine, Indian terrain and type of threats, what kind of new equipment and technologies will have to be inducted in the Indian Army ?
COAS : The long term perspective planning of the Army has been made in consonance with the stated doctrine, terrain as obtained in the Indian subcontinent and the technology perspective.
Our endeavour is to obtain the optimum equipment mix with updated technology for the Indian Army. Induction of new equipment has been necessitated for capability enhancement, to cover the entire conflict spectrum envisaged in our doctrine to include military operations other than war.
COMMON REGIONAL CHALLENGES
PNK : In view of continued instability in India’s neighbourhood what are your threat perceptions?
COAS : The porous nature of our borders, pose a serious security challenge. Terrorism is our other common regional challenge. We therefore, face varied security challenges, ranging from conventional and unconventional threats, that include proxy war, terrorism and insurgencies.
BORDER SECURITY CONCERNS
PNK : Would you like to spell out your security concerns on India’s borders with China, Pakistan, Bangladesh and Nepal and imperatives of preparedness for Indian Army?
COAS : The security concerns on India’s borders are :
a) Unsettled border disputes.
b) Terrain and configuration obtaining on border, conducive to hostile actions by inimical elements.
c) Support provided to terrorists.
The Army has deployed adequate troops suitably supplemented by appropriate surveillance and technical intelligence resources to ensure the sanctity of the border areas along the Line of Control and Actual Ground Position Line in J and K, to ensure the desired national security objectives.
On the Indo-Bangladesh border due to terrain conditions, socio- economic factors and incomplete fencing of border in some stretches, the border at times is exploited by terrorists and other undesirable elements.
The Indian border with Myanmar is unique in nature wherein the Free Move Regime remains in force, facilitating cross border movement.
This provision, which originated due to ethnic and linguistic similarities existing across border, has its own dynamics.
The situation along the India-China border is normal and under control. Due to perceived differences in alignment of Line of Actual Control, some issues of local nature come up once in a while. The number of such incidents during the last three years has been generally as per established pattern. These cases are taken up with Chinese authorities through the established mechanism of hot lines, flag meetings and border personnel meetings and resolved.
Notwithstanding the above, areas along LAC are being kept under surveillance by physical deployment, regular patrolling by troops and other aerial, optronic and electronic means. Our army is well trained and motivated to fulfill all operational task assigned to it.
Infrastructure development plans have been evolved and are being implemented. This will facilitate speedy mobilisation, operational and logistical sustenance of formations.
COOPERATIVE SECURITY APPROACH
PNK : You have visited many countries to develop military-to-military cooperation which have also been reciprocated by other Service chiefs. What are the advantages of such visits and how useful have these visits been?
COAS : Visits are undertaken by Service Chiefs and Chairman, COSC and their equivalent in friendly foreign countries with specific aims and objectives. Accordingly, defence cooperation calendar of exchanges are worked out for engagement with immediate, strategic and extended neighbourhood and other developed nations with modern defence forces. Such visits are part of our cooperative security approach to build and sustain trust and mutually beneficial payoffs.
Besides fostering goodwill, these visits are utilised for interacting with key high level dignitaries and provide an opportunity to mutually benefit from each others experiences.
Such visits also provide opportunities to discuss shared concerns on threats and challenges like terrorism, avoidance of hostilities, maintaining regional peace and stability and positively shaping regional dynamics.
GAINS OF JOINT EXERCISES
PNK : Indian Army has held a large number of joint exercises with other armies of the world. What are advantages of such exercises and how do you rate the standards of Indian Army ?
COAS : Joint exercises are initiated, planned, coordinated with specific aims and objectives vis-à-vis a friendly foreign countries and region. A few of the tangible and intangible gains that accrue are:
(a) Tangible Gains.
(i) Learn doctrinal, conceptual, development and transformation aspects albeit at tactical levels.
(ii) Mutual sharing of tactics, techniques and procedures and selective incorporation into our battle drills and procedures.
(iii) Showcase own military professionalism.
(b) Intangible Gains.
Develop mutual trust, confidence amongst regional countries and Friendly Foreign Countries to shape regional dynamics and to enhance stability in the region. It also assists in asserting and extending our sphere of influence in the region.
(c) Political and Diplomatic Dimension.
Joint exercises are one of the multifaceted defence cooperation activities in open domain and have a political and diplomatic dimension.
Presently the joint exercises are pitched primarily at tactical levels for developing mutual confidence. They will graduate to higher levels in future. Indian Army has been holding its head high in such exercises.
CONTEMPORARY TRAINING
PNK : Due to induction of new technology and equipment in the Army, what steps are being taken to ensure contemporary training also to the troops ?
COAS : Army is in the process of both modernisation and transformation wherein absorption of new technology driven equipment and processes are on focus.
Army has been systematically creating a strong technological base for all ranks and empowering them by
training and updating them on both technology and new equipment being inducted.
Officers are being trained in modern technology and developments from top technical institutions in our country and abroad. JCOs and Other Ranks also undergo various diploma and certificate courses in engineering and are also put through a number of upgradation and equipment orientation courses to enhance their technical proficiency and skills. Train the trainers concept is also being followed at Cat A and B institutes.
DEVELOPMENT OF NICHE SKILLS
To ensure smooth induction of high-tech weapon systems and equipment, all ranks are being trained on their expert handling in pre and post induction phases. They are also associated from development stage of the equipment till its induction. Training with original equipment manufacturers helps in easy assimilation of technology and peculiarities of sophisticated equipment.
Modernisation of laboratories and technical infrastructure of our training establishments are also being undertaken to develop them as ‘Centres of Excellence’ in technical training. Similarly infrastructure at military stations is being upgraded to facilitate conduct of training through the modernisation of training infrastructure at military stations.
Simulators are also being inducted to ensure adequate training on new technologies.
IMPORT OF ARTILLERY GUNS
PNK : The much needed import of artillery guns, missiles and aviation equipment has been delayed. Has the preparedness of Army been affected ?
COAS : The import of artillery guns, air defence missiles and helicopters is an operational necessity, due to vintage and changes in operational requirement. Necessary action to modernise the Army are already underway.
While delay in induction of these has not critically affected the operational preparedness yet, we hope that the new equipment will be procured soon and the acquisition procedures are simplified.
CAPABILITY ENHANCEMENT
PNK : To maintain high standards of preparedness and border management, what role do you expect from the States, Police Forces and para-military forces to spare the Army from internal security duties ?
COAS : Internal security duties are primarily the charter of the Police and Central Armed Police Forces. The Army is employed only when the situation is beyond their control. In the present situation when multiple internal security challenges are being faced by the nation, there is a need for capability enhancement of the CAPFs to be able to take on and effectively deal with the situation. Besides this, an effective joint mechanism, as existing in J and K and NE states, is desirable to ensure synergised efforts towards stabilising the situation.
The Army has always been forthcoming in providing assistance to the CAPFs, in terms of training and skill enhancement, for dealing with the internal security situations.
ANTI-MILITANCY OPERATIONS
PNK : What are your experiences and views on the deployment of the Armed Forces in counter-terrorism, anti-militancy and policing support to various state governments with large police and para-police services on their pay roll already ?
COAS : The maintenance of internal security order is the responsibility of state, employing the Police and CAPFs. Only when the security situation is beyond the control of the Police and CAPFs, the Army should get deployed in counter terrorism and anti-militancy operations. Army’s primary role is to guard the borders against external threats.
The states must take steps to expedite capability enhancement of Police and CAPFs, so that these agencies can efficiently execute the constitutionally assigned role of being the primary agencies for maintenance of internal security in the country; on their own.

CHANGING NATURE OF THREATS

PNK : How has the qualitative and quantitative nature of security threats changed during the recent years ?

COAS : In addition to conventional threat, terrorism, narcotics and weapon smuggling, piracy, illegal immigration have increased. This

has made it incumbent on our armed forces to be prepared for multifarious threats.

In quantitative terms, the increasing capability of our adversaries in terms of weapons and equipment increases are our requirement of

these. We also need to look into acquiring asymmetric capabilities.

India therefore faces unique challenges – ranging from ‘traditional land centric threats’ necessitating multi-front obligations, to

‘asymmetric threats’ including its proxy war manifestations, combined with other internal security challenges. The national security

framework therefore has to take cognisance of emerging security challenges across the entire spectrum of threats.

ONE RANK-ONE PENSION

PNK : Do you think the issue of one rank-one pension will become a reality ?

COAS : The subject of Ex-Servicemen Welfare and related issues are in the exclusive domain of the Ministry of Defence. The MoD and

the Government are addressing their demands most sympathetically and take a positive view after considering them comprehensively.

MINIMUM FORCE DOCTRINE

PNK : What is the doctrine of use of minimum force practiced by Indian Army? How many armies in the world, specially in South Asia

and our neighbourhood practice this doctrine ?

COAS : The Indian Army follows the Do’s and Don’ts while operating in areas where the AFSPA is invoked. Herein is enshrined the

principle of ‘Minimum Force’ vide which, while exercising the powers conferred under Section 4 of the Act, it is ensured that minimum

force required for the effective action against the person/persons acting in contravention of the laws of the land. Also prior to and

opening fire or using force against any person or persons, it is ascertained that the same is essential for maintenance of public order. Fire

is opened only after due warning.

All around us we do not see much of our effort to use minimum force.

MODEL PEACEKEEPING FORCE

PNK : Having earned praise in the UN Missions, how does the Indian Army differ from other armies of the world ?

COAS : India has very often been considered as a model in peacekeeping efforts, some of the major issues which contribute towards this

are :

a) Extensive experience in various types of operations in varied and diverse terrain.
b) High standard of training in general military aspects as well as for peacekeeping.
c) Quality of soldiers and young leadership.
d) High standard of discipline.
e) Uniquely Indian values – patience, perseverance, tolerance and humane behaviour.

DISASTER MANAGEMENT

PNK : What has been the record of Indian Army in disaster management and goodwill mission towards civilians ?

COAS : Indian Army’s record in disaster management and goodwill mission towards civilian is unparalleled. Over the years Army has

been actively involved in provision of Aid to Civil Authorities to help them overcome a crisis and disaster situation. Whatever be the

nature or type of disaster, the Army has always stood up and delivered at the hour of reckoning; on many an occasion the Army has

responded despite itself being affected by the disaster. By virtue of its pan India presence and organisational strength the Army’s

response to a disaster situation has always been coordinated, swift and seamless, which was ably demonstrated during the recent

earthquake in Sikkim, where Army was at the forefront of rescue and relief operations.

During the year 2011, 147 columns, 23 Medical Teams and 40 Engineer Task Forces were deployed by the Army in ‘Aid to Civil

Authorities’.

ARMED FORCES TRIBUNAL

PNK : How would the formation of Armed Forces Tribunal affect the governance and discipline in the Army?

COAS : With the establishment of AFTs, the disposal of cases filed by / on behalf of Army personnel has become quicker. This may

enhance the morale of troops . As such, it will have no effect on discipline in Army.

In case the principles of military jurisprudence are given due consideration distinct from Criminal Procedure Code it will enhance the

morale of troops. Presently, the system is in the process of stabilising as Army perceives it.

NO QUARTER FOR THE CORRUPT

PNK : Recently there has been a spurt in the allegations of corruption against the Army personnel, how do you view it and what deterrent

do you propose against the accused ?

COAS : Both the terms “scam” and “scandal” are labels, which have been used rather indiscriminately by the media and the public. These

have brought a degree of disrepute to the fair name of the Army, which is rendering a yeoman service to the nation.

There are two pertinent aspects of our investigative process, which needs to be highlighted. One, it needs a formal registration of an FIR

to initiate the investigations. These are done suo-moto, wherever and whenever a commander feels that an irregularity may have taken

place. Second, the rank and status of those whose decisions are being investigated have not deterred us from carrying out these

investigations. These are positives, in so far as our aim to ensure utmost probity and transparency in decision making is concerned.

It is to be noted that Army is amongst the very few organisations which have proactively sought to bring those indulging in any wrong

whatsoever to book, irrespective of rank or status.

PREPARED TO MEET CHALLENGES

PNK : On the Army Day, what is your message to the countrymen and the Army ?

COAS : I would like to assure my fellow countrymen that the Indian Army is fully prepared to meet any security challenge to the country.

We have always made them proud and will continue to do so in future also.

Our predecessors have worked tirelessly and made supreme sacrifices to make the Indian Army epitome of excellence and selfless service

that it is today. It is now imperative upon us that we continue the good work done by them and achieve higher standards of professional

excellence and serve with honour, dignity and live up to the expectations of our country.

I would like to request that the Servicemen’s problems should be understood by the people and necessary support given to them to

defend our country without looking over their shoulders for the welfare of their families.

Read more / Original news source: http://manipur-mail.com/to-combat-internal-and-external-threats-is-armys-priority/

Dr. K. Parameswaran, Assistant Director, PIB,Madurai
The small rectangular box, with six partitions, that appear on all postal articles in India is ignored by many and left unfilled by even more! However for the postal department, the small box represents nothing less than the “steering wheel” of a letter! The box is used to fill in the PIN code of the place to which the letter is being sent. What is the PIN code? How does it work?
What is a PIN code?
The PIN code is the abbreviation of Postal Index Number (PIN) code. This is a unique 6 digit code, allotted to all post offices that deliver mail in India. Since one code can relate only to one post office, the use of the code is the sure fast way of ensuring that the letter reaches the correct post office.
How does it work?
For the implementation of the PIN code system, the entire nation has been divided into eight PIN zones. The following table indicates the identification numbers and extent of each zone.
1 Northern Delhi, Haryana, Punjab, Himachal Pradesh, Jammu & Kashmir
2 Northern Uttar Pradesh and Uttaranchal
3 Western Rajasthan and Gujarat
4 Western Chattisgarh ,Maharastra and Madhya Pradesh
5 Southern Andhra Pradesh and Karnataka
6 Southern Kerala and Tamil Nadu
7 Eastern West Bengal, Orissa and North Eastern
8 Eastern Bihar & Jharkand
As was indicated at the beginning, the PIN code is a six digit number. The first digit will indicate one of these zones. The second and third digits together indicate the district where in the delivery post office is situated. The next three digits will indicate the particular post office where the letter is to be delivered. In short, the first 3 digits together will indicate the sorting or revenue district where the letter is to be basically routed. The last 3 digits refer to the actual post office where the article is to be finally delivered.
For example, if one hails from Kozhikode, a city in Kerala, the PIN code for the post office in that area is 673 006. Here the first digit 6 indicates that the letter is headed for the sixth PIN zone – Tamil nadu, Pondicherry and Kerala. The digits seven and three (the second and third digits of the code) will show that the destination of the letter is more precisely situated in the Kozhikode (formerly Calicut) district of Kerala. The final three digits – 006 – will ensure that the letter gets routed to post office number 006 in Kozhikode – a small locality called Bilathikulam! A letter posted even in Alaska or Siberia – if it has sufficient postage stamps on it – will reach its destination if the PIN code is correctly indicated on the postal article!
Let us take another example. The PIN code for the Press Information Bureau in Madurai is 625 020. Here the first digit 6 again stands for the PIN zone – Tamil nadu, Pondicherry and Kerala. The next two digits – 25 – represent the District of Madurai, while the two final digits -20 – together represents the post office of Gandhi nagar, the delivery post office for PIB, Madurai!
Here it is also important to note that the number given to the Gandhi nagar post office in the city of Madurai in Tamil nadu is unique. No other post office in India will have this number. A check with the post PIN code directory will reveal that the delivery post offices in Mathura – the holy city in Uttar Pradesh (UP) – with which the temple city of Madurai is likely to be confused has a completely different PIN code – 281 001. Two stands for the PIN zone consisting of UP and Uttarkhand; 81 represents the district of Mathura while 001 stands fro Mathura Head Post office.
ZIP system in USA
ZIP codes are a system of postal code numbers used by the United States Postal Services (USPS) since 1963. The term ZIP is an acronym for Zone Improvement Plan. It was chosen in the belief that it will suggest that the postal articles will travel more efficiently, and therefore more quickly, when senders use the code in the address. The basic format consists of five digits. An extended ZIP+4 code, introduced in the 1980s, includes the five digits of the ZIP code and four more digits that determine a more precise location than the ZIP code alone.
The United Kingdom system
The postal code system used in the United Kingdom is known as postcode. The code uses both alphabets as well as numerals. They were introduced by the British Royal Mail system over a 15-year period from 11th October 1959 to 1974. A full postcode is known as a “postcode unit” and usually corresponds to a set of addresses or a single large delivery point.
Earlier, a system of postal districts was implemented in London and other large cities from 1857. In London this system was refined in 1917 to include numbered subdivisions, extending to the other cities in 1934. These earlier districts were later incorporated into the national postcode system.
Zonal System – a precursor
Attempts at streamlining the delivery system of postal articles in India have a considerably long history. One of the earliest attempts in this direction was taken in 1946 itself – the Delivery Zone Numbering System. Under this system, each delivery post office was allotted a distinctive number. It was first introduced for the major cities like Bombay, Culcutta, Delhi and Madras. The public were requested to note Zone Numbers after the name of city, where this system was adopted. In absence of such an indication, articles were liable to delay.
Postal Circles
The organization of postal circles was also an attempt to streamline the delivery system and prevent long delays.
When the Postal facilities were opened to public on 1st April 1774, there were 3 Postal Circles namely Bengal, Bombay and Madras.
Bengal was catering whole of Eastern and Northern regions of British Empire. Madras was handling whole of Southern region and the rest was catered by Bombay.
After partition, Independent India had the following Postal Circles – Assam, Bengal, Bihar & Orissa, Bombay, Central, East Punjab, Madras and UP. Today, India has 20 Postal Circles – Andhra Pradesh, Assam, Bihar, Delhi, Gujarat, Haryana, Himachal Pradesh, J & K, Karnataka, Kerala, Madhya Pradesh, Maharashtra, North Eastern, Orissa, Punjab, Rajasthan, Tamilnadu, Uttar Pradesh, West Bengal and the Army Postal Service.
PIN Code Week – 15th – 21st January.

Read more / Original news source: http://manipur-mail.com/the-pincode-the-steering-wheel-of-a-letter/

Shamima Siddiqui, Director (M&C), PIB, with inputs from the Ministry of Finance
Public Expenditure in the Government is managed as per the Appropriation Act which is passed by the Parliament every year. Based on the estimates of expenditure as presented in the Annual Financial Statement, Demands for Grants are presented for the approval of the Parliament. Thereafter, Ministries/Departments seek the approval of Parliament on their respective Detailed Demands for Grants (DDG) that gives service wise estimates of expenditure. During the financial year, expenditures are incurred in accordance with the estimates approved in the DDGs.
For the formulation of these estimates to be presented in the Budget, extensive consultations are held with the respective departments/ministries in meetings chaired by Secretary (Expenditure) in which the Internal Financial Units of the respective ministry/department, headed by the Financial Advisers and the functional heads in the ministries/departments participate.
The Central Government has embarked upon a fiscal consolidation programme to bring down its fiscal deficit over a period of time. With the reduction of the fiscal deficit, it is expected that the debt stock of Government would stabilize within acceptable limits. This would further reduce the interest payments that Government has to incur every year, thereby freeing more resources for development spending.
The expenditure of Central Government comprises of certain committed items like salaries, pension, interest payments, Defence etc. One of the important aspects of the salary and pension expenditure of the Government is the impact of revision in the salary structure of employees and the arrears arising out of implementation of Pay Commissions’ recommendations. This usually happens once in ten years when Pay Commission recommendations are implemented with retrospective effect. This aspect was also analysed by 13th Finance Commission (FC) which recommended that awards of Pay Commissions should be made to commence from the date on which the recommendations of future Pay Commissions are accepted by the Government. The 13th FC has further stated that since Finance Commissions are able to present their inter-governmental recommendations without any need for retrospective fiscal transactions, the same should be possible in the case of Pay Commissions as well.
The three major subsidies provided by Central Government are Food, Fertilizer and Petroleum Subsidies. Over the years, the subsidy bill of Government has been increasing rapidly and its share in the total expenditure of the Government has become a matter of concern. At present, the subsidy paid by the Government is routed through the provider of the goods and services that are subsidized. For better targeting of subsidy, the Central Government is moving towards a system in which the subsidy amount is directly given to the intended beneficiary.
To implement a solution to the above and to evolve a model of direct transfer of subsidies on Kerosene, LPG and Fertilizers, by re-engineering existing systems, processes and procedures in the implementation process, designing appropriate IT systems and aligning these with the issuance of UID numbers, and bringing about changes in the administration and supply chain management, the Government has constituted a Task Force under the Chairmanship of Shri. Nandan Nilekani, Chairman, Unique Identification Authority of India (UIDAI).
Government has also constituted a High Level Expert Committee (HLEC) to suggest measures for efficient management of public expenditure under the Chairmanship of Dr. C. Rangarajan. The HLEC has made recommendations on fundamental aspects of public finance that are under consideration.
The Budget of Central Government is a statement of fiscal allocations and has no disclosures on the corresponding outcomes achieved. The disclosure on outcome had been attempted through separate exercises that report on the outcome achievements separately. Outcome Budget was started in Government consequent to the announcement of the Finance Minister in the budget speech for 2005-06. Detailed guidelines for the Outcome Budget presented by every Ministry in respect of every demand, except those explicitly exempted from doing so, for plan as well as non plan expenditure, are issued by Department of Expenditure every year.
The Performance Monitoring and Evaluation System (PMES) is a system of performing management and reporting which was started from the year 2009-10. Under PMES, each department is required to prepare a Results-Framework Document (RFD). RFD provides a summary of the most important results that a department/ministry expects to achieve during the financial year. This document has two main purposes: (i) move the focus of the department from process-orientation to results-orientation, and (ii) provide an objective and fair basis to evaluate department’s overall performance at the end of the year. These measures have increased the transparency in reporting of performance on outcomes.
For improving quality of expenditure on schemes, it is very important to ensure that there is robust performance evaluation and reporting mechanism that is tightly linked with the budgeting process and financial decision making. In long term, this would ensure that scarce public resources are optimally utilized for those activities that provide maximum benefit with least cost. The Plan expenditure of the Government can be divided into Central Plan and Assistance to State Plans. Central Plan consists of Central Plan Schemes and Centrally Sponsored Schemes (CSS) that are implemented by States. There is a need to rationalize schemes within a Ministry and across Ministries. Rationalisation of both plan and non plan schemes would require dropping of schemes which have out lived their utility, while taking up new schemes.
Regular Monitoring and Evaluation of schemes and incorporating changes required to address issues observed during evaluation is extremely essential to ensure that the quality of expenditure is maintained. There are various initiatives taken at Central Government level that have this objective. Programme Evaluation Organisation of the Planning commission regularly evaluates the programmes of Government. It has various Regional and Programme Evaluation Office in the country. Towards this objective, Cabinet, in November 2010 has approved setting up of an Independent Evaluation Office attached to the Planning Commission. The Comptroller and Auditor General of India also conducts performance audit of the activities of the Government, which analyses the aspects of economy, efficiency and effectiveness of Government activities.
Monitoring and evaluation also includes monitoring the trend and pace of expenditure on schemes. The Central Plan Scheme Monitoring System (CPSMS), which provides real time information on the status of plan schemes of the Government, is an important initiative in this regard. There is a need to strengthen this system to provide more information on expenditure and utilization under plan schemes.

Read more / Original news source: http://manipur-mail.com/public-expenditure-reforms/

We have come a long way since the Automotive Industry in India was delicensed. Today, this sector is one of the shining examples of what can be achieved in a relatively short span of time with the right kind of support of the Government, combined with the entrepreneurial skills and managerial talent that the Industry has to offer. Today India is the seventh largest vehicle manufacturer, second largest two wheeler manufacturer and the fifth largest commercial vehicle manufacturer in the world. The past ten years have witnessed a six fold increase in the industry turnover and the automotive exports growing by almost twenty times.
The Government and the automotive industry had jointly set a road map, a vision, for the future of the Indian auto industry in the shape of the Automotive Mission Plan (AMP) 2006-16. During the period of downturn from 2007-09, there were many people who believed that it would be extremely difficult to meet the AMP targets. However, the spectacular rebound and growth witnessed by the industry during the last two – three years has belied these apprehensions. During 2010-11, the Indian automotive industry registered a total turnover of USD 73 billion, with exports worth USD 11 billion. Of this, the turnover by the auto component sector stood at USD 30 billion, with exports valued at USD 5 billion. The moderation of growth in the recent past is a transient phenomenon. The coming years shall continue to witness high levels of growth for the Indian automotive industry owing to the fact that most of the primary demand drivers like level of vehicle penetration, growth of the economy, the demographic profile of the country, increasing wages and salaries coupled with the huge investments being made by the government in the infrastructure sector are all very favourable. It has been projected that the Indian auto component industry has the potential reach a turnover level of USD 66.4 billion by 2016 and USD 113 billion by 2020. This translates to a fourfold increase over a period of ten years.
One area of concern is the ever increasing trade deficit in auto components. The import of auto components during 2010-11 was at USD 10 billion which meant that imported components constituted 1/3rd of the total auto component turnover of the country. In 2010-11, India was a net importer of auto components worth USD 5 billion and this deficit has been on the increase since the past 4-5 years. Some of the reasons for the continued sharp increase in imports include capacity constraints of domestic manufacturers, price competitiveness of the imported products, lack of design capabilities with domestic industry etc. This is not a desirable situation as a significantly large portion of value addition and job creation is captured in auto component manufacturing.
The focus of the government is to ensure inclusive and equitable growth which would necessitate large employment generation for the vast numbers of youth, especially from the rural and semi urban areas, who are joining the work force. Since the job creation potential from agriculture and services sectors can only go so far, the vast number of new jobs will need to come from the manufacturing sector. It is therefore not surprising that one of the focus areas for the government is to spur manufacturing in the country so that this sector can contribute at least 25% to the national GDP from the present level of 14%. For this to happen, the automotive industry which today contributes 22% of the manufacturing GDP, will need to play a major role. Therefore, one of the primary objectives for the government is to ensure that the huge future market potential that exists in this sector is met by the indigenous industry and not by way of imports. Clearly, this is an area where the government would like to work more closely with the industry to reverse the trend.
The impressive numbers for the possible future size of the Indian auto component industry represents high potential; however, huge challenges will need to be overcome if the Indian auto component industry is to realize this potential. In order to realize the 2020 vision, the Indian auto component industry will need to build and optimize their capacities, focus on continuous improvement, absorb advance technologies, adopt latest manufacturing processes, build R&D competencies, inculcate and promote organization culture of innovation. In addition, it will need to continually strive to improve quality, cost and delivery standards to global benchmarks. Further, as the industry move towards an era of shortened product life cycles and faster roll out of newer models and variants, it will be imperative for the Indian auto component industry to graduate from the present “build to design” capabilities to developing “product design, testing and validation” capabilities. Also availability of capital at reasonable costs, availability of skilled manpower, stable long term government policies, protection of the interests of the domestic auto industry in the various bilateral free trade negotiations are some of the most critical areas where government support is essential.
The Automotive Industry in India shall continue to grow at a very fast pace in the foreseeable future. This confidence is based on strong sector fundamentals which include extremely low current levels of vehicle penetration in the country, projected high rate of GDP growth for the Indian economy, huge investments being made by the Government in infrastructure along with a very large upwardly mobile middle class population with aspirations for better living standards. These factors will ensure that the demand for personal mobility in India will continue to remain very high. Recent studies project the size of the Indian passenger vehicle segment annually to be close to 9 million units and the two wheeler production to be close to 30 million units by 2020.
The Indian Automobile Industry has traditionally enjoyed the advantage of cost competitiveness mainly on account of the low cost of skilled labour available in India. This, however, cannot be the sole paradigm for sustainable competitive advantage for the Indian automobile manufacturers in the long term. This is especially so in the wake of rising competition form other low cost countries, especially in the Asia-Pacific Region. Sustainable competitive advantage for the Indian Automobile Industry can only come through enhanced investments for scaling up the entire supply chain, adopting newer, cleaner and more efficient manufacturing technologies and processes along with greater commitment to research and developmental activities. In addition, w are faced with a acute shortage of skilled manpower to meet the ever growing requirements of the industry, both in terms of quality and quantity. Further, the development of a strong and vibrant corporate culture facilitating innovation is also essential for effectively responding to ever changing competitive paradigms.
The most important challenge before us would emanate from the need to mitigate the adverse impact of transportation on the environment and the need to lessen the dependence on fossil fuels. Sustainable mobility is therefore the “Mantra” of the resent and the future for this Industry. In order to work towards achieving the objective of sustainable transportation, we will have to redouble our commitment for automotive research and development, adoption of latest vehicles technologies, especially those that relate to advance and efficient internal combustion engines, hybrid and electric fuel technologies, including electric mobility.
The Government has always been keen to support the Automotive Industry and is committed for building and strengthening its partnership with the private sector. The Government has a key role to play in creating an enabling and conducive environment, catalyzing research and development activities supporting the adoption of new technologies and initiatives.
Continuous effort from both the Government and the automotive industry will be the key to unlocking the full potential of the sector.
With inputs from M/o Heavy Industries & Public Enterprises

Read more / Original news source: http://manipur-mail.com/indian-automotive-industry-on-a-high-growth-trajectory/

Dr K Parameswaran
Assistant Director, PIB,Madurai
There is a legend in Kerala about the famous family of Vaidyas (Ayurveda physicians) called Alathur Nambis. The traditional house of the Alathur Nambis is part of the modern district of Palakkad. They form part of the group of Eight Physician families – each family reputed for their exceptional ability in each branch of medicine.
It seems that once the heavenly twins called Aswini Devas – they are the guardian deities of Health and Medicine – appeared on the form of crows and used to sit on a tree beside a temple pond repeating the sounds “korukku”.
One day, the then head of the family of Alathur Nambi came to worship at the temple and hearing the noise produced by the crows stood their and recited a Sanskrit couplet, the meaning of which, was as follows: he who eats only that amount of food that he needs at the proper times and only when he needs them, he who passes urine and stools without with holding them for long periods of time and he who drinks adequate amount of water will be one who will not be plagued by illnesses of any sort! It seems that what the crows were doing was to ask the question ‘who is he who does not have illnesses?” Don’t you think the answer given by the Ayurvedic physician is modern by all standards?
It is against this back ground that the Union Government is giving due importance to alternative systems of medicines like Ayurveda, Homeopathy, Unani, Tribal Medicine etc. Besides being more eco friendly, these systems of medicine also have the advantage that they stress more on the preventive aspect of medicine.
AYUSH
At the recently concluded Bharat Nirman Public Information campaign (PIC) at Karur in Tamilnadu, an experiment was made where in the free medical camp conducted as part of the PICwas organized by the Department of AYUSH (Ayurveda, Unani and Homeopathy) working under the Union Ministry of health and Family Welfare. Besides attracting a large number of patients, the camp was also successful as a platform from which the availability and advantages of the alternative systems of medicine were made known.
Doctors and a team of paramedical staff attended the three day campaign from the various institutions in Chennai. The Central Council for Research in Unani Medicine, Research Centre for Ayurveda and the Clinical Research Unit for Homeopathy were the institutes that organized the medical camp. They were led respectively by Dr Hafiz Md Salam, Dr P Srinivas and Dr K Raju.
Besides a medical camp of one day, the units had also set up stalls in the Campaign where they distributed informative pamphlets and dispensed low cost medicines for various common ailments.
Feedback from Patients.
Venkteswaran, a resident of the Thanthndrimalai agraharam near the PIC exhibition site, had been suffering from pain in the forelegs and heels for quite some time. He consulted the Ayurveda doctors at the camp who suggested a daily oil bath with medicated oil and a powder to be mixed in water and drunk early morning before food. By the time the camp ended itself Venkateswaran was all smiles.
He said that there was perceptible relief from pain!
Jagadamma, a daily wage earner from Karuppatti near Karur had come to see the exhibition. The medicine prescribed by the Homeopathy doctors was able to give her big relief from eye reddening and dryness.
Unani doctors also attracted a large number of patients. The Unani doctors said that they were able to distribute a record number of almost 1000 book lets on “Tips for Healthy Living” produced in Tamil.
In short, the camp was eye opener on the efficacy and effectiveness of the alternative systems of medicine. It helped in giving an impetus to the popularity of the cost effective and eco friendly systems of medicine that can easily be accessed by the common people in rural areas also.

Read more / Original news source: http://manipur-mail.com/an-eye-opener-on-alternative-systems-of-medicine/

PIB
Delhi a magnum opus was build and destroyed seven times, tells the saga of the bygone era. Endowed with the power and charisma of creating myth; transcending moments of history- Delhi completes 100 glorious years. As a narrative of extraordinary time, Delhi has recorded amazing kaleidoscopic breadth of events – sometimes tragic, often triumphant as the stupendous talent of people.A city brimming with life has many stories wrapped, frozen in time, yet eloquent in their immediacy. There is much more to Delhi than her legendary history, rich cultural heritage, cultural diversity and religious unity. Delhi is a palimpsest, bearing the complexities, the contradictions, the beauty and the dynamism of the city where past coexist with present, many dynasties ruled from here and the cultural elements, absorbed into daily life. One side is monuments, icons of testimony to the grandeur of the past and, to other side is a long suffering Yamuna depicting the follies of the present. Delhi has a multilayer existence and is among the fastest growing cities. Stretching beyond seven cities created around 13th and 17th centuries; Delhi urban sprawl is extensive and still growing. There are skyscrapers, residential colonies and busting commercial malls all testimony to the changing time. Delhi soul is its energy, effervescence, ebullience manifested in the spirit of people. In a quest to build home and hope millions work here with zest, liveliness and fervor. Delhi embodies the subtle fusion of diverse ideas, of variety, of novelty of tradition through many decades. The uniqueness of Delhi is its strength to rejuvenate and withstand the test of time, which can be seen in its life style.
India is a great Nation; Delhi being the capital is a symbol of old and new shares this greatness. Delhi today is multidimensional multicultural and multi-progressive. It is in a constant state of cohesive flux. Delhi without question is home and hopes of millions. After independence Delhi has undergone radical transformation, and poses with a luminous gesture along the developed nation’s capitals. For a surprisingly long time Delhi was not the seat of power. However, every stone and brick here whispers to our ears a long and glorious history.
Between the fading ranges of Aravallis and long flowing Yamuna, Delhi has a labyrinth of history buried under its era. Delhi draws its name from Raja Dhilu. The earliest historical reference to Delhi dates back to first century BC. All through its history, the present capital of India has been an important player. Reasons for this might be found in its geographical location. Delhi has always been a convenient link between Central Asia, the northwest frontiers and the rest of the country. An inscription dating from the time of Asoka, the famous Mauryan king, tells us that Delhi was on the great northern highway of the Mauryas and linked their capital Patliputta (near modern Patna, Bihar) with Taxila (Takshashila), now in Pakistan. This was apparently the route that Buddhist monks took on their way to Taxila, the intellectual hotbed in those days, and Central Asia. What one can read between the lines is that it was also the route that the Mauryan armies took enroute to quelling the frequent rebellions and foreign insurgencies in Taxila and other such border trouble spots.
So, this gave Delhi considerable strategic importance. The story of Delhi unfolds into the multi city existence, which is depicted below:
Indraprastha 1450 BC Site: In Purana Qila
Remains: Archeological finds now support the view that this was indeed Delhi’s earliest city. This has not surprised anyone in Delhi, for popular opinion had never doubted the existence of Indraprashtha. Reasons for its decline are not known.
Lal Kot or Qila Rai Pithora 1060 AD Site: Qutub Minar-Mehrauli complex.
Remains: Very little remains of the original Lal Kot. Of the 13 gates of Rai Pithora fort, now only three remain.Built by: Rajput Tomaras. 12th century; captured and enlarged by the Rajput king Prithviraj Chauhan.
Siri 1304 AD Site: Near Hauz Khas and Gulmohar Park.
Remains: Some portions and walls remain. Alauddin Khilji also built other things around Siri. Like, the beautiful Alai Darwaza, the south gate of the Quwwat-ul-Islam Mosque and reservoir in present-day Hauz Khas.Built by: Alauddin Khilji of the Delhi Sultanate. Alauddin Khilji was well-known for his trade reforms, so it’s not surprising that Siri was a major trading centre.
Tughlaqabad 1321-23 AD Site: 8km from the Qutub complex.
Remains: Walls and some ruined buildings. Built by: Ghiyasuddin Tughlaq. Jahanpanah Mid-14th century
Site: Between Siri and Qutub MinarRemains: A few remnants of defensive ramparts.Built by: Mohammad-bin-Tughlaq
Ferozabad 1354 AD Site: Kotla Feroze Shah.
Remains: Only the Asoka Pillar rising from the ruins remains. There is stadium for cricket which is called Feroze Shah Kotla grounds.Built by: Feroze Shah Tughlaq. It remained the capital until Sikander Lodi moved to Agra.
Dilli Sher Shahi (Shergarh) 1534
Site: Opposite the zoo. Around Purana Qila.
Remains: High gates,walls,mosque and a great baoli(well). Kabuli and Lal Darwaza gates and the Sher Mandal.
Built by: This Delhi was actually started by Humayun, the second Mughal Emperor and was completed by, Sher Shah Suri.
City: Shajahanabad Mid-17th century Site: The existing Old Delhi. Remains: The Red Fort, Jama Masjid, main streets of Old Delhi (like Chandini Chowk), long sections of walls and several city gates. Old Delhi might be congested, but it still retains its medieval charm. The people are very warm and welcoming. Shah Jahan, the fifth Mughal Emperor moved his capital from Agra to here.The capital of India is not only known for its rich historical background but also for some exquisite arts and crafts. In fact, the arts and crafts of Delhi have been patronized since the times of the royals. As a cultural center of its time, Delhi attracted the best of painters, musicians and dancers. This is so because there is no specific identity of the city. With time, people from different areas of India came and settled, making Delhi an assortment of sorts. Slowly and gradually, Delhi assumed some of the aspects of the identity of all the types of people living in it, making multiple identities for it.Delhi has is of diversity, that richness of people coming from different backgrounds characterized by the plurality of people divided in terms of religion, region, language, cast and class; individual with unequal status but, with a shared access to resource and opportunity to seek one’s goal and vision.
Delhi- always a flashpoint, hub of multi-activities capturing the ebb and flow, high and low of footprints of time. The air of Delhi is full of follies of the present and fragrance of the past, as also the fresh pricing winds, refreshing, paving way for new India.

Read more / Original news source: http://manipur-mail.com/centenary-of-the-capital/

The Union Finance Minister Pranab Mukherjee addressed the this Meeting of CMs of East Zone States in Kolkata today. He said, “We have here today a diversified mix of Eastern states consisting of Arunachal Pradesh, Assam, Bihar, Jharkhand, Manipur, Meghalaya, Mizoram, Nagaland, Odisha, Sikkim, Tripura and West Bengal.
From the banking perspective, we have a mix of states with varying level of access to banking facilities, flow of credit to priority sectors and over all C-D ratio. State Governments and the bankers are working in close coordination to tap the potential of each State/Union Territory and promoting credit flow into various growth areas. States with a high level of co-operation with Banks have done well in availing their banking services. It will, indeed, be a great learning process to share each other’s experience and formulate appropriate strategy to approach state specific problems. Nonetheless, I would like to highlight a few issues relating to flow of credit and some other related issues.
It has been our endeavour to ensure timely availability of agricultural credit in adequate measure at an affordable cost to the farmers. A special package was announced earlier to usher in green revolution in the Eastern region. For the current financial year, we have set a target of Rs. 4,75,000 crore for credit flow to the agriculture sector. Bank have already extended credit of Rs. 2,23,380 crore as on 30th Sept,2011. During the year 2011-12, short term crop loans will be available at an attractive interest rate of 4 per cent per annum for prompt repaying farmers. It will be our earnest effort to cover all the eligible farmers. States should make efforts to generate awareness about the Scheme so the farmers can benefit from cheaper credit while the banks get timely repayment. In terms of employment generation, Micro and Small Enterprises (MSE) is next only to agriculture. This sector also plays a crucial role in furthering the objective of equitable and inclusive growth. Reserve Bank of India (RBI) has set separate targets for flow of credit to MSE Sector and for micro enterprises within this overall target for MSE Sector. Last year, Rs. 4,000 crore was provided to SIDBI for refinancing incremental lending by banks to these enterprises. For the year 2011-12, as announced in my budget speech, the provision has been increased to Rs. 5,000 crore. On all India basis, the outstanding MSE credit has exceeded the target but there has been a shortfall in the share of advances to micro enterprises. State-wise performance in MSE sector also differs. While Mizoram, Arunachal Pradesh and
Tripura have shown an impressive growth in credit flow, other states particularly Manipur have reflected lower credit growth. Similarly, East Zone states of Bihar, Jharkhand, Mizoram, Nagaland and Odisha could not achieve 50 per cent target of credit flow to micro enterprises within the MSE Sector; rest of the states under review have achieved the stipulated target of 50 per cent I would like to advise the State Governments to devise suitable schemes in cluster/location specific industry groups for improved credit flow. We have taken up an ambitious plan ‘Swabhiman’ for Financial Inclusion. We have set a target for coverage of 73000 habitations of the country with banking facilities by the year 2012. By the end of October, 2011, on all India basis over 45000 villages have been covered which is around 62 per cent of the target. In the States represented here today, I find that out of 23,000 villages allotted to East Zone for provision of banking services, nearly 12,000 villages have been covered by the end of October 2011, which comes to about a little over 50 per cent of the target. Therefore, the rest of the villages representing nearly 50 per cent of the target needs to be covered by the end of March, 2012. This in turn will require massive efforts on the part of state Governments and banks
particularly the RRBs. There has been significant flow of credit to Housing Sector to States in the East Zone in 2010-11. Housing loans in the states of Arunachal Pradesh and Tripura have shown a remarkable growth of 62 per cent and 45 per cent during 2010-11 respectively. I request states of Assam, Manipur, Meghalaya, Sikkim, & Jharkhand to focus on the growth of Housing Loans as their growth is less than 20 per cent. To further stimulate growth in housing sector, in my budget speech, I have liberalized the existing scheme of interest subvention of 1 per cent on housing loans by extending it to housing loan upto Rs.15 lakh where the cost of the house does not exceed Rs.25 lakh. States should popularize the scheme among the targeted beneficiaries.
With regard to the Credit Deposit (CD) Ratio, I find that all East Zone States are having lower CD Ratio in comparison to 60 per cent benchmark. CD ratio in relation to States of Arunachal Pradesh, Bihar, Meghalaya, Nagaland and Tripura are less than 30 per cent. I request, particularly, the Chief Ministers of these states to use the forum of SLBC meetings effectively and take pro-active action to ensure that the CD Ratio in their States is improved.
Regional Rural Banks (RRBs) are playing an increasingly important role in the growth of rural economy. I am happy to note that out of 82 RRBs functioning in the country, 80 RRBs have rolled out the CBS. These institutions will soon be a part of National Electronic Funds Transfer (NEFT). I am also happy to note that all the 22 RRBs functioning in the East Zone states are participating in the NEFT system through their sponsor bank. With this all the RRBs in the country will be in a position to provide facility to their customers to remit funds across the country. As regards, financial support, the Government of India in 2010-11 has announced scheme of supporting 40 weakest RRBs. 13 RRBs have been provided recapitalization support during 2010-11 and 2011-12 to the tune of Rs. 354.64 crore, half of which has been contributed by the Central Government. The ten State Governments of the Eastern region are now required to release Rs. 198.50 crore for recapitalization of 18 RRBs. I would request them to release their share expeditiously.
We have been encouraging expansion of RRBs in terms of opening new Branches. To improve the coverage of RRB, 269 branches of RRBs will be opened by March 2012 and 539 branches will be opened by March, 2013 in the Eastern Region. I request the State Governments to extend their full supports for expansion of branch network of RRBs.
Apart from expansion of banking facilities in rural areas there is also a need for improving insurance penetration in rural areas. I notice that a number of districts, especially, in the North Eastern States are not having a single branch of Insurance companies – either Life or non life. For instance, out of 194 Districts covered under review today, 53 districts do not have any Branch. Similarly, out of 56 NE Districts, 31 do not have any Branch. I am instructing LIC and Non-life Insurance Companies to ensure that all Districts have at least one Branch or a satellite office during the coming year. We have been popularizing insurance coverage of rural poor through various schemes as a part of Financial Inclusion. Aam Admi Bima Yojana (AABY) and Janashree Bima Yojana (JBY) are important insurance schemes of the Government of India meant to support the rural landless households, rural and urban poor and informal workers and their families.
The coverage under these insurance schemes needs to be improved. Government has introduced a co-contributory voluntary pension scheme – “Swavalamban” with effect from September 2010, under which Central Government contributes Rs. 1000 per account per annum for an annual minimum saving of Rs. 1000 and upto Rs, 12000 per annum.
The coverage so far at the country level is about 3.65 lakhs under the scheme. The State Governments should take benefit under the scheme and should bring all the workers in the unorganised sector under the ambit of Swavalamban Scheme.
Delay in the implementation of projects, particularly in the infrastructure and manufacturing sector, not only deprives the economy of its benefits, downstream investment and resultant employment generation, it also make the projects vulnerable to time and cost overrun and thereby impacts their viability. In my recent review, it has come to my notice that implementation of a number of projects are held up due to regulatory approval. I would request the Chief Ministers to pay personal attention to this aspect and review the status of approvals in large projects in their states. CMDs of the PSBs have been advised to approach the State Governments for expediting the approvals in projects financed by them.
E-payment is another area where I would seek the cooperation of the Chief Ministers. As you are aware all Public Sector Banks are almost completely on the core banking platform. All the RRBs, barring a few, have also rolled out CBS and soon be a part of NEFT. Since the required system for paperless transmission of funds is in place, the States should introduce mandatory e-payment for its various transactions such as payment to its employees, contractors, etc. There are large number of schemes both by the Central Government and State Governments where cash benefits are transferred to the beneficiaries. Under the financial inclusion plan under implementation, banking services are expanding rapidly. I would urge the Chief Ministers to shift to electronic benefit transfer in all villages which have been covered with banking services in a time bound manner. Government of India is keen to expand and strengthen the branch network of banks in eastern states, particularly in the north eastern states. Out of 69 unbanked blocks in NE region, 27 blocks were covered with banking services by 30th November, 2011. The remaining 42 unbanked blocks are in the states of Arunachal Pradesh, Manipur and Nagaland. I would urge the banks to extend the banking services to these remaining blocks also by 31st March, 2012. Government has also directed that in the under banked districts, the banks shall open a regular brick & mortar branch in habitations with population of 5000 and above. In the North Eastern Region, 47 Districts do not have a Clearing House and 8 Districts do not have a Currency Chest. Government is pursuing to ensure that all the Districts of N-E Region have atleast one Currency Chest and Clearing House each in all the districts, I am happy to note that eleven clearing houses will be operationalised by March, 2012 of which 5 will be in the North East States. Similarly, three currency chests will be established by March, 2012, of which one will be in Assam. However, Government will ensure that the currency requirement of all the districts in NE region are adequately met. To conclude, the Eastern States have immense potential. The need, therefore, is to identify the opportunities and recognize the challenges to work towards a sustainable and inclusive growth of the region supported with greater penetration of the formal financial sector.

Read more / Original news source: http://manipur-mail.com/finance-minister-in-the-meeting-with-chief-ministers-of-east-zone/