The Union Cabinet chaired by Prime Minister Shri Narendra Modi has approved below schemes.
i.Cabinet approves MoU between India and Nepal for construction of a new Bridge over Mechi River
On 23rd August 2017 a Memorandum of Understanding (MoU) to be signed between India and Nepal for new Mechi Bridge over Mechi River at Indo-Nepal border which is the ending point of Highway 02 in India leading to Nepal.
- National Highway and Infrastructure Development Corporation (NHIDCL) as the implementing agency for this project.
- The estimated cost of construction of the bridge is Rs. 158.65 crore.The new bridge is part of up-gradation of the Kakarvitta (Nepal) to Panitanki Bypass (India) on NH 327B covering a length of 1500 meters including a 6 lane approach road of 825 meters.
ii.“Cabinet approves New Central Sector Scheme – “”Pradhan Mantri Kisan Sampada Yojana”
The Cabinet Committee on Economic Affairs has approved the renaming of the new Central Sector Scheme – SAMPADA (Scheme for Agro-Marine Processing and Development of Agro-Processing Clusters) .”Pradhan Mantri Kisan Sampada Yojana (PMKSY) “covers for the period of 2016-20 coterminous with the 14th Finance Commission cycle.
- The objective of PMKSY is to supplement agriculture, modernize processing and decrease Agri-Waste.
- PMKSY with an allocation of Rs. 6,000 crore is expected iv.It will benefit 20 lakh farmers and generate 5, 30,500 direct and indirect employment in the country by the year 2019-20.
- It will provide a big boost to the growth of food processing sector in the country.
iii.Cabinet approves setting up of a Commission to examine the Sub-Categorization within OBCs
The Cabinet has approved a proposal for setting up of a Commission to examine the issue of sub-categorization of the Other Backward Classes (OBCs) under article 340 of the Constitution.
- The Commission shall submit its report within 12 weeks from the date of appointment of the Chairperson of the Commission.
- The proposed terms of references of the Commission are as follows:
- To examine the extent of inequitable distribution of benefits of reservation among the castes or communities included in the broad category of OBCs, with reference to the OBCs included in the Central list.
- To work out the mechanism, criteria, norms and parameters, in a scientific approach, for sub-categorization within such OBCs.
- To take up the exercise of identifying the respective castes/communities/ sub-castes/ in the Central List of OBCs and classifying them into their respective sub-categories.
- There is no constitutional or legal bar to State categorizing backward classes as backward or more backward and if a State chooses to do it (sub-categorization), it is not impermissible in law.
iv.Cabinet approves Closure of loss making Bharat Wagon and Engineering Company
The Cabinet Committee on Economic Affairs has approved the proposal of Ministry of Railways to close the Bharat Wagon and Engineering Company Limited (BWEL). It is a Central Public Sector Enterprise (CPSE) under Ministry of Railways.
- The BWEL’s 626 employees will be benefitted from the voluntary retirement
- The Government will have to provide one time grant off 151.18 crore towards severance package and for clearing the current liabilities of the company.
v.Cabinet gives in-principle approval for Public Sector Banks to amalgamate through an Alternative Mechanism (AM)
The Union Cabinet has given in-principle approval for Public Sector Banks to amalgamate through an Alternative Mechanism (AM). The decision regarding creating strong and competitive banks would be solely based on commercial considerations.
- The proposals to formulate schemes of amalgamation shall be placed before the Alternative Mechanism (AM).
- After in-principle approval, the Banks will take steps in accordance with law and SEBI’s requirements.The final scheme will be notified by Central Government in consultation with the Reserve Bank of India.
- At present, there are 20 public sector banks, apart from State Bank of India, which recently merged with five of its subsidiaries and the Bharatiya Mahila Bank.
- Merger brings similar performing banks result in effective resolution of non-performing assets across lenders.