Faced with a slowing economy, Prime Minister Manmohan Singh set up an investment tracking system to ensure speedy implementation of projects. The move comes a day after official data showed the economy expanded at its slowest pace in nine years in January-March, the fourth quarter of FY12. Overall GDP growth in 2011-12 slowed to 6.5% compared to 8.4% expansion in the previous year-ago period. The slowdown has prompted urgent calls for reviving growth. Economists say growth has slowed largely due to the delay in implementation of projects and government approvals.
Decision-making has also slowed in the aftermath of the series of scandals which have dented the UPA government’s appetite for reforms. The delay in approvals and clearances have hurt the industrial sector and has impacted overall growth. According to the latest plan, the National Manufacturing Competitiveness Council will track all public sector projects with an investment of Rs 1,000 crore and above, a government statement said. The National Manufacturing Competitiveness Council will submit a quarterly statement of projects monitored and issues identified that need resolution, either systemically or individually.