FinMin clears SPV proposal for electronic clusters.

The Finance Ministry has cleared IT and Telecom Ministry's proposal on the structure and functioning of special purpose vehicles required for implementation of electronics manufacturing clusters (EMC).

'The Finance Ministry has cleared special purpose vehicles proposal on electronics manufacturing clusters. The detailed guidelines will be notified by Department of Electronics and Information Technology next week,' a government official said.

In July 2012, the Cabinet had approved the proposal to offer financial support for the development of EMCs.

The government will provide financial assistance to EMCs through SPVs governing them. For new EMCs, the assistance will be up to 50 per cent of the project cost subject to a ceiling of Rs. 50 crore for every 100 acre of land.

BS