'Unproductive Central Schemes to be weeded out'

New Delhi, Dec 1: Planning Commission Deputy Chairman Montek Singh Ahluwalia today said the Plan panel was engaged in an exercise to weed out Central Sector Schemes and Central Schemes that have outlived their utility.

Talking to newspersons here, Dr Ahluwalia said "there was too much thinning of resources" which necessitates weeding out of unproductive schemes.

He said there was bouyancy in the flow of Foreign Direct Investment (FDI) but remittances were growing faster. He said the high remittances were largely a result of liberalisation of the economy and the large number of schemes that were offered by the government to attract such flows.

Asked whether the government would consider introducing new schemes to be launched for overseas Indians, Dr Ahluwalia said after the Working Groups for the Eleventh Plan submit proposals related to various sectors, the Commission would consider whether anything more needs to be done.

On a question whether the government's flagship programme would get adequate funding in view of the Finance Minister P Chidambaram's statement that FRBM Act targets would be strictly adhered to, Dr Ahluwalia said there will be shortage of resources for the purpose.

He, however, said resource generation would depend upon a number of factors like tax and non-tax revenues, outcomes of Public-private partnerships, and performance at the State level.

Dr Ahluwalia said stepping up the growth rate in agriculture was essential to achieve a high growth rate and the Commission was working out a comprehensive plan in this regard.

The Approach Paper to the Eleventh Plan, which has been cleared by the Cabinet, would go for approval of the NDC on December 9,2006.

UNI