Bank Exams Exam  >  Bank Exams Questions  >  what are measures taken by govt. promoting pu... Start Learning for Free
what are measures taken by govt. promoting public private partnership project in India
Verified Answer
what are measures taken by govt. promoting public private partnership ...
Government has taken measures to revitalise Public Private Partnerships (PPPs) in the infrastructure sector, but all stakeholders need to work together to make such projects successful, Parliament was informed on Friday.

“While government has taken measures (to revitalise PPP projects) on its part, steps need to be taken by other parties,” Minister of State for Finance Arjun Ram Meghwal said in a written reply to the Lok Sabha.

Steps have to be taken taken by all stakeholders, including public authorities, state and regulatory authorities, corporate sector, private developers and financial institutions, Meghwal added.

The minister noted that some sectors have seen developments which were not anticipated, as pointed out by the committee on revitalising PPP model in infrastructure sector, headed by Vijay Kelkar, in its report submitted to the government in November 2015.

“These included factors like over-leveraged balance sheets of the developers, global macroeconomic developments, land acquisition and lack of dispute resolution mechanism,” he said.

Noting that since PPP contracts are long term and are sometimes subject to uncertainties, Meghwal said there is need for constant capacity building by each group of stakeholders.

Public Private Partnership (PPP) refers to a contract agreement between a government or statutory entity and a private sector company for executing various infrastructure projects.
This question is part of UPSC exam. View all Bank Exams courses
Most Upvoted Answer
what are measures taken by govt. promoting public private partnership ...
Measures taken by the government to promote public-private partnership projects in India include:

1. Policy Framework:
The government has developed a robust policy framework to promote public-private partnerships (PPPs) in various sectors. The National PPP Policy provides guidelines and procedures for the implementation of projects, ensuring transparency, accountability, and risk-sharing between the public and private sectors.

2. Institutional Framework:
To facilitate PPP projects, the government has set up dedicated institutions such as the Public-Private Partnership Appraisal Committee (PPPAC) and the Project Development Fund (PDF). These institutions evaluate and approve projects, provide financial support, and assist in project development.

3. Project Identification and Preparation:
The government identifies and prepares projects suitable for PPPs in sectors like infrastructure, healthcare, education, and transportation. It conducts feasibility studies, project structuring, and risk assessment to attract private sector participation.

4. Viability Gap Funding (VGF):
The government provides financial support through the VGF mechanism to bridge the viability gap in PPP projects. This assistance helps make projects financially viable and attractive to private investors.

5. Capacity Building:
The government focuses on building the capacity of various stakeholders involved in PPP projects. It conducts training programs, workshops, and seminars to enhance the knowledge and skills of government officials, private sector representatives, and project developers.

6. Streamlined Approvals and Clearances:
To expedite PPP projects, the government has streamlined the approval and clearance processes. Single-window clearances, online application systems, and time-bound approvals have been implemented to reduce bureaucratic delays and ensure a hassle-free process for private investors.

7. Risk Mitigation:
The government takes steps to mitigate risks associated with PPP projects. It provides guarantees, insurance, and risk-sharing mechanisms to protect private investors from unforeseen circumstances, such as changes in government policies, regulatory issues, or force majeure events.

8. Dispute Resolution Mechanism:
To address any disputes that may arise during project implementation, the government has established specialized dispute resolution mechanisms. These mechanisms aim to resolve conflicts in a fair and timely manner, ensuring a conducive environment for private sector participation.

Overall, these measures taken by the government promote public-private partnership projects in India by creating an enabling environment, reducing risks, ensuring transparency, and providing financial and institutional support to attract private investments.
Explore Courses for Bank Exams exam

Similar Bank Exams Doubts

Banking sector reforms in India were introduced in order to "improve" efficiency in the process of financial intermediation. It was expected that banks would take advantage of the changing operational environment and improve their performance. Towards this end, the Reserve Bank of India initiated a host of measures for the creation of a competitive environment. Deregulation of interest rates on both deposit and lending sides imparted freedom to banks to appropriate price their products and services. To compete effectively with non-banking entities, banks were permitted to undertake newer activities like investment banking, securities trading and insurance business.This was facilitated through amendments in the "relevant"acts which permitted PSBs to raise equity from the market up to threshold limit and also enabling the entry of new private and foreign banks. This changing face of banking led to an erosion of margins on traditional banking business, promoting banks to search for newer activities to"augment" their free incomes.At the same time, banks also needed to devote focused attention to operational efficiency in order to contain their transaction costs. Simultaneously with the deregulation measures prudential norms were instituted to strengthen the safety and soundness of the banking system. Recent internal empirical research found that over the period 1992-2003, there has been a discernible improvement in the efficiency of Indian banks. The increasing trend in efficiency has been fairly uniform, irrespective of the ownership pattern. The rate of such improvement has, however, not been sufficiently high. The analysis also"reveals" that PSBs and private sector banks in India did not differe significantly in terms of their efficiency measures. Foreign banks, on the other hand, recorded higher efficiency as compared with their Indian counterparts.Q.Which of the following is/are the measure(s) taken by Reserve Bank of India to create a competitive environment in the Banking sector?I. Banks were given freedom to take up newer activities.II. Entry of new private and foreign banks in the field.III. Amendments in the relevant acts to enable PSBs to raise equity from the market.

Banking sector reforms in India were introduced in order to "improve" efficiency in the process of financial intermediation. It was expected that banks would take advantage of the changing operational environment and improve their performance. Towards this end, the Reserve Bank of India initiated a host of measures for the creation of a competitive environment. Deregulation of interest rates on both deposit and lending sides imparted freedom to banks to appropriate price their products and services. To compete effectively with non-banking entities, banks were permitted to undertake newer activities like investment banking, securities trading and insurance business.This was facilitated through amendments in the "relevant"acts which permitted PSBs to raise equity from the market up to threshold limit and also enabling the entry of new private and foreign banks. This changing face of banking led to an erosion of margins on traditional banking business, promoting banks to search for newer activities to"augment" their free incomes.At the same time, banks also needed to devote focused attention to operational efficiency in order to contain their transaction costs. Simultaneously with the deregulation measures prudential norms were instituted to strengthen the safety and soundness of the banking system. Recent internal empirical research found that over the period 1992-2003, there has been a discernible improvement in the efficiency of Indian banks. The increasing trend in efficiency has been fairly uniform, irrespective of the ownership pattern. The rate of such improvement has, however, not been sufficiently high. The analysis also"reveals" that PSBs and private sector banks in India did not differe significantly in terms of their efficiency measures. Foreign banks, on the other hand, recorded higher efficiency as compared with their Indian counterparts.Q.Choose the word which is most nearly the same in meaning as the word printed in italicas used in the passage.Relevant

what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness
Question Description
what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness for Bank Exams 2024 is part of Bank Exams preparation. The Question and answers have been prepared according to the Bank Exams exam syllabus. Information about what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness covers all topics & solutions for Bank Exams 2024 Exam. Find important definitions, questions, meanings, examples, exercises and tests below for what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness.
Solutions for what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness in English & in Hindi are available as part of our courses for Bank Exams. Download more important topics, notes, lectures and mock test series for Bank Exams Exam by signing up for free.
Here you can find the meaning of what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness defined & explained in the simplest way possible. Besides giving the explanation of what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness, a detailed solution for what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness has been provided alongside types of what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness theory, EduRev gives you an ample number of questions to practice what are measures taken by govt. promoting public private partnership project in India Related: Public-Private Partnership - Commercial Banking, Banking Awareness tests, examples and also practice Bank Exams tests.
Explore Courses for Bank Exams exam

Top Courses for Bank Exams

Explore Courses
Signup for Free!
Signup to see your scores go up within 7 days! Learn & Practice with 1000+ FREE Notes, Videos & Tests.
10M+ students study on EduRev