CCEA approves Rs 282.25 cr-support for Indian Maritime University

NEW DELHI: The government today approved a Rs 282.25-crore proposal for providing financial support to the Indian Maritime University (IMU) in Chennai.

"The capital support will be utilised for constructing academic block, administrative block, hostel block etc at the IMU head quarters," Home Minister P Chidambaram told reporters after the meeting of the Cabinet Committee on Economic Affairs, which cleared the poposal.

The Ministry of Shipping had set up the IMU in November 2008 in Chennai as a central university with campuses in other cities like Chennai, Kolkata, Mumbai and Visakhapatnam

The fund provided by the government will also be utilised for implementation of reservation for other backward classes in the existing maritime institutes merged with the university in compliance with the Central Educational Institutions Act, 2006.

The total estimated revenue and expenditure over a period of five years from 2009-10 to 2013-14 of IMU are Rs 449.44 crore and Rs 436.04 crore, respectively.

Although there will be a surplus of Rs 13.40 crore in five years, during the first two years, there will be a deficit of Rs 6.92 crore, which will be met through the financial assistance provided by the government.

The total fund requirement is envisaged at Rs 282.25 crore out of which Rs 275.33 crore would be the capital support and Rs 6.92 crore would be the financial assistance to meet the deficit.

Chidambaram said the IMU will help generate employment opportunities in maritime sector, not only for Indian shipping but also meet to meet the shortage of manpower in global shipping.