PSUs find it difficult to meet capex target as finances dry up

NEW DELHI: State-run companies, who are being pushed to meet capital expenditure targets in order to strengthen the country’s industrial growth which grew by just 0.2 per cent last September, are finding it difficult to meet deadlines given financial and project implementation constraints.

The government has already cracked the whip asking all PSUs to achieve 75 per cent of capex spending by December-end and more than 100 per cent by March-end. However, the chances of meeting the target are slim, say officials who attended the fifth of a series of meetings held at North Bloc on the issue.