Uttar Pradesh eases project approval norms for faster growth

Chief Minister Yogi Adityanath has raised the financial approval limit at the departmental minister level from Rs 10 crore to Rs 50 crore. Projects costing Rs 50-150 crore will be approved by the finance minister, while those above Rs 150 crore require the chief minister's nod. This move aims to accelerate development in the state.

Uttar Pradesh Chief Minister Yogi Adityanath has issued directives to expedite financial approvals for projects. Departmental ministers can now approve projects up to Rs 50 crore, up from the previous limit of Rs 10 crore. Those between Rs 50-150 crore will be cleared by the finance minister, and projects exceeding Rs 150 crore need the chief minister's approval.

The chief minister has ordered all departments to get their annual action plans approved by April 15, with non-compliance to be reported directly to his office. Any project with a cost overrun exceeding 15 percent will require fresh approval backed by proper justification.

During a review of the finance department, Adityanath emphasized time-bound execution, quality control, transparency, and digital processes. He directed the implementation of a State Guarantee Policy similar to the central government's model. For ASHA and Anganwadi workers, he stressed timely monthly honorarium payments, urging the state to use its own funds if central assistance is delayed.

Government data shows that in 2023-24, Uttar Pradesh achieved a capital expenditure of Rs 1,10,555 crore, the highest in the country. Investment made up 9.39 percent of total expenditure, staying within Fiscal Responsibility and Budget Management norms. The state's Composite Fiscal Health Index rose from 37 in 2014 to 45.9 in 2023, placing it in the top 'front-runner' category.

Reviewing digital reforms, the chief minister targeted full paperless operations for budget, treasury, and pension systems by April 2026, including cyber treasury and online bill processing. Third-party quality audits by IITs, NITs, and government technical institutions were mandated for major infrastructure projects. Additionally, five-year payment-linked maintenance was required for all new government buildings.

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