Cabinet approves establishment of an Integrated Multi-purpose Corporation for the Union Territory of Ladakh
With Rs 25 crore share capital, the corporation will be the first organization dedicated to development in the region
Corporation will work for industry, tourism, transport, and marketing of local products and handicraft
Corporation to work as main construction agency for infrastructure development in Ladakh
The goal of Atmanirbhar Bharat is to be realized through employment generation, inclusive and integrated development of the Ladakh region
Posted On: 22 JUL 2021 4:24 PM by PIB Delhi
The Union Cabinet chaired by Prime Minister Shri Narendra Modi has approved the establishment of an Integrated Multi-purpose Infrastructure Development Corporation for the Union Territory of Ladakh
The Cabinet also approved the creation of one post of Managing Director, for the corporation in the pay scale of Rs.1,44,200- Rs.2,18,200level.
The authorized share capital of the Corporation will be Rs.25 crore and recurring expenditure will be around Rs. 2.42 crore per year. It is a new establishment. Presently, there is no such similar organization within the newly formed UT of Ladakh. The approval has an inherent potential for employment generation as the corporation will be undertaking various kinds of developmental activities. Corporation will work for industry, tourism, transport and marketing of local products and handicraft. Corporation will also work as main construction agency for infrastructure development in Ladakh.
The establishment of corporation will result in inclusive and integrated development of the Union Territory of Ladakh. This will, in turn, ensure socio-economic development of the entire region and population of the Union Territory.
The impact of development will be multi-dimensional. It will help in further development of human resources and better utilization thereof. It increases domestic production of goods and services and will facilitate their smooth supply. Thus, the approval will help in realizing the goal of Atmanirbhar Bharat.
- Consequent upon re-organisation of the erstwhile State of Jammu and Kashmir as per the Jammu and Kashmir Reorganisation Act, 2019, the Union Territory of Ladakh (without Legislature) came into existence on 31.10.2019.
- An Advisory Committee was constituted under section 85 of the Jammu and Kashmir Reorganization Act, 2019 for making recommendations regarding the apportionment of the assets and liabilities of the erstwhile State of Jammu and Kashmir between the Union Territory of Jammu and Kashmir, and the Union Territory of Ladakh. The said Committee inter-alia recommended for the establishment of an Integrated Infrastructure Development Corporation Limited on the lines of the Andaman & Nicobar Islands Integrated Development Corporation Limited (ANIIDCO), with an appropriate mandate to take up various developmental activities as per the specific needs of Ladakh.
- iii. Accordingly, the Union Territory of Ladakh sent a proposal to this Ministry for the establishment of the corporation in the Union Territory of Ladakh, which was recommended by the Committee on Establishment Expenditure (CEE), Ministry of Finance in April, 2021.