The Hindu Business Line : Cabinet meet to clear major proposals

IN what would possibly be the final approvals by the BJP-led NDA Government before the poll dates are announced and the code of conduct comes into place, the Union Cabinet is scheduled to meet early on Friday morning to clear some of the major proposals that have been pending still.

According to the Government sources, one of the major items on the agenda for the meeting to be held at the residence of the Prime Minister, Mr Atal Bihari Vajpayee, is the issue of merger of the dearness allowance with basic pay for the Central staff.

Announced during the presentation of the mini-Budget by the Finance Minister, Mr Jaswant Singh, the exact method of implementation is still unclear. A clarification is required as to whether the 50 per cent DA merger with the basic pay will also lead to a hike in the house rent allowance and other perks. The ratification of the proposal by the Cabinet is intended to set these doubts at rest.

Also on the agenda are proposals such as an insurance cover for `Anganwadi' workers and electrification of about one lakh villages. Sources said it is not as yet clear whether the power tariff policy is also likely to be taken up.

This apart, speculation was rife till late evening that the Cabinet might also take up the issue of raising the foreign direct investment (FDI) cap in the telecom sector along with the issue of intra-circle mergers. This is despite the fact that the Minister for Telecommunications, Mr Arun Shourie, recently went on record saying that the FDI issue in the telecom sector would be taken up after the polls.