CMIE Revises June Quarter Projects Completion Data Downwards By 79% To Rs 1.47 Lakh Crore
Centre for Monitoring Indian Economy (CMIE) has revised its dataset on projects completion by 79 per cent for the June quarter. According to the new data, projects worth Rs 1.47 lakh crore were completed in the first quarter of FY24, a substantial decline from the earlier estimated Rs 6.87 lakh crore.
The data on contribution by government and private sector has also changed in the new update. As per the data, projects worth Rs 0.56 lakh crore were completed by the government while private sector completed projects worth Rs 0.91 lakh crore. In the previous update, CMIE had mentioned that government had completed projects worth Rs 6.75 lakh crore, whereas the contribution of private sector stood at just Rs 0.12 lakh crore.
As per the organisation, the change was made after the deletion of projects completed under the Prime Minister Awas Yojana (PMAY). The organisation mentioned in a communication to Outlook Business, “The PMAY(U) includes several schemes that essentially part finances or provides interest rate subvention for projects. The PMAY(U) is therefore a part financier of housing projects and not the implementer or promoter of these projects.”
The deletion of projects, which has also been done to avoid double counting, has changed the dataset substantially. While the earlier trend indicated that the government was doing the heavy lifting for projects, the latest update suggests that private sector led during the first quarter. In the September quarter, projects worth Rs 1.01 lakh crore were completed, with the government completing projects worth 0.75 lakh crore while the private sector completed the rest.