Investment proposals under M-SIPS drop to Rs 914 bn in April as firms exit

Applications under consideration for Modified Special Incentive Package Scheme (M-SIPS) as of April 2018

In a setback to the government’s ambitious aim to promote electronics manufacturing, various companies have opted out from earlier planned investments, apparently due to a slow pace of approval for disbursement of incentives.

According to sources, commitments from companies under the Modified Special Incentive Package Scheme (M-SIPS, launched in 2012) in this regard had reduced to Rs 914 billion as of end-April 2018, against earlier proposals for a combined Rs 1.57 trillion.  A source said the number of investment proposals had reduced to 238 as of end-April, from 269 received a year before; in the past year, only a handful