Government aims to raise capital expenditure of steel CPSEs – stocks end positive, MOIL up 4%

The government is aiming to increase the capital expenditure (CAPEX) of steel CPSEs (Central Public Sector Enterprises) and in this regard, a review meeting was chaired by the Union Steel Minister Ram Chandra Prasad Singh on Tuesday (September 14, 2021).

According to the press statement, the minister emphasised the importance of capital expenditure in building steel infrastructure to spur high and sustainable growth in the post-pandemic period while doing a detailed review of projects under implementation. 

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“The steel CPSEs were directed to step up the pace of their CAPEX and to also streamline the processes for timely completion of projects,” the Ministry of Steel said in a statement. 

The meeting was attended by Faggan Singh Kulaste, Minister of State, Pradip Kumar Tripathi Secretary Steel and the CMDs of Steel CPSEs Steel Authority of India Ltd. (SAIL), National Mineral Development (NMDC), Rashtriya Ispat Nigam (RINL), Kudremukh Iron Ore Company (KIOCL) and Manganese Ore (India) (MOIL) and senior officers of the Ministry of Steel.

The Nifty Metal index which has been soaring in the last couple of trading sessions declined today by 0.5 per cent to 5,810.35. The index has surged over 11 per cent in the last three weeks from 5,219 hit on August 23, 2021, on the NSE, as against a 5.5 per cent rise in the Nifty50 during the same period.

Individually, except for Manganese Ore (India) Ltd. (MOIL) surged almost 4 per cent, the other two listed steel CPSE stocks — SAIL and NMDC ended flat with positive bias.