POLICY THRUST AREAS FOR MINISTRIES AND DEPARTMENTS

By Vijay Kumar

In consultation with various ministries of the Union Government and based on the commitments made in the National Common Minimum Programme, the Prime Minister's Office has identified a comprehensive list of "Thrust Areas" for policy implementation within the next six months. The PMO wants all ministries and departments to undertake Institutional reform in terms of

(i) decentralization,
(ii) simplification,
(iii) transparency,
(iv) accountability and
(v) e-governance

DDT hopes at least the Revenue department will not send copies of the PMO's letter to the field formations for strict compliance and periodical reports. Another thrust area the PMO should have identified was a total ban on calling for reports. With the amount of time and money spent on paper, phone calls, fax, Xerox and a host of other paraphernalia to generate useless reports, perhaps we can link all our rivers. Incidentally that is another thrust area identified by the PMO - linking rivers, not generating reports.

The thrust areas identified fgor major economic ministries are:-

Ministry of Commerce

Department of Commerce

6.1 Complete introduction of Electronic Data interchange with regard to foreign trade for online filling, data collection etc.

6.2 Implementation of the Report of Task Force on Project Exports.

6.3 Shape content of SEZ and Competitive Economic Zone Policy, including the Central SEZ Act, to enable world class infrastructure through private participation and hassle-free regulatory regime in various areas including taxation, customs, labour etc., in SEZ.

Ministry of Finance

Department of Disinvestment

15.1 Prepare White Paper on Disinvestment.

Department of Expenditure

15.3 Finalising and implementing the Task Force Report on review of the General Financial Rules 1963 with a view to promoting efficiency and transparency in Government financial systems and procedures.

15.4 Implementation, through the established working groups, of the report of the Task Force on revision of procurement norms to ensure greater transparency, competition, fairness and elimination of discretion in procurement of goods by Government.

15.5 Budget for 2005-06 - have detailed interaction on revenues, plan support, new programmes and policies

Banking and Insurance Division

15.7 Implementation of Action Plan to facilitate financial flows to the unorganised sector.
15.8 Prepare action plan and undertake necessary follow-up for time bound implementation of proposed actions to strengthen the rural credit system.

Department of Economic Affairs

15.10 Strengthen and facilitate professional functioning of regulatory institutions to ensure free and fair competition. To achieve this objective, develop an underlying approach on optimal regulatory arrangements, with necessary sectoral variants, to provide the basic framework for creating regulatory arrangements across various sectors.

15.11 Formulate a National Policy on subsidies, which would identify target groups, goods & services, subsidy norms, and an exit strategy for existing subsidies which are inconsistent with the policy.

15.12 Review existing provisions relating to FDI and develop a comprehensive policy governing FDI in various sectors, keeping in view investment / developmental needs, strategic concerns and other relevant factors.

15.13 Take follow up action on NRI report on FDI within a timeframe of next six months

Financial Sector

15.15 Time bound implementation of the Action Plan for the Financial Sector.

Department of Revenue

15.16 Ensure timely implementation of the State level VAT.

15.17 Undertake necessary actions for implementation of the proposed system for services taxation in the country that is acceptable to the Centre and the State.

15.18 Comprehensive computerization of Income Tax System to benefits income tax payers and improve tax administration.

15.19 Complete introduction of Electronic Data interchange with regard to foreign trade for online filling, data collection etc.

15.20 Comprehensive Revision of Customs and Central Excise Code etc. to be accomplished to ensure transparency, overcome absence of direction, elimination of unnecessary stages and mandatory time lines.