E-governance plan to focus on banking

The national action plan for e-governance, a part of the government's priority agenda, will include banking as one of the areas of focus. It will also include a system of incentives to encourage states to harness the benefits of e-governance.

The decisions were taken at a meeting convened by Prime Minister Atal Bihari Vajpayee. At the meeting, the finance ministry also asked the IT department to resubmit a consolidated proposal to provide a suitable package of incentives to promote the hardware industry as hardware capacity was required for widespread adoption of IT and e-governance, officials said.

The government has proposed a total outlay of Rs 2,550 crore for the national plan on e-governance. While Rs 1,485 crore is slated to go to the Centre, Rs 800 crore has been earmarked for financial institutions and Rs 265 crore for state governments.

The IT department has been asked to prepare specific proposals after taking into consideration mission mode projects, to be identified by the Core Group on Administrative Reforms, and indicate the physical and financial targets to be met over the years. Plan outlays in the central and state plans will be worked out on this basis.

At the meeting, Finance Minister Jaswant Singh emphasised the need for outsourcing e-governance projects to competent agencies. He also said funds could be found for fast implementation of computerisation projects.

Officials said the government's intranet connectivity would be extended up to the block level by strengthening the National Informatic Centre Network (Nicnet) and utilising state networks.

System research and development to make procedures and the governmental system citizen-friendly will also be undertaken as part of the proposed plan.

Officials said outsourcing to competent agencies would be better than purchasing IT systems and other hardware. Private sector involvement in various components of the programme, including the service centres and kiosks, will also be encouraged.

Working on a network

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The finance ministry has asked the IT department to re-submit a proposal to provide a package of incentives to promote the hardware sector, essential for e-governance systems

The government has proposed a total outlay of Rs 2,550 crore for the national plan on e-governance. While Rs 1,485 crore is slated to go to the Centre, Rs 800 crore has been earmarked for financial institutions and Rs 265 crore for state governments

The government's intranet connectivity will be extended up to the block level by strengthening the National Informatic Centre Network (Nicnet) and utilising state networks