Mumbai: The Maharashtra government introduced a new policy in its 2025-26 budget to provide financial assistance for the purchase of modern ferry boats on the Gateway of India-Mandwa-Elephanta Island ferry route. This move is intended to enhance passenger safety, particularly as ferry traffic to these popular tourist destinations surges on weekends. The initiative addresses long-standing demands from ferry operators to replace aging wooden boats, which are costly to maintain and pose significant safety risks.

State Govt’s Decision Comes After Gateway Tragedy

Currently, numerous passenger ferries operate on this route, many of which are aging wooden vessels. Ferry boat associations have repeatedly called for financial aid to modernise the fleet, citing safety concerns and high operational costs.

The government’s decision follows the tragic ferry accident near Gateway of India on December 18, 2024, where 15 people lost their lives after a speedboat operated by Navy personnel collided with a wooden ferry. The incident shed light on the vulnerabilities of older boats and fueled demands for a safer fleet.

Using Wooden Boats For Water Travel Poses High Risk

Reports citing experts have highlighted that wooden boats are more susceptible to structural damage in accidents compared to modern vessels. Unlike road transport, where the Motor Vehicles Act imposes a 15-year operational limit on vehicles, the Inland Vessels Act does not specify an age cap for boats. Instead, wooden boat licences are renewed annually after retrofitting, which involves replacing old parts and wood to keep them functional. However, safety concerns remain, prompting the push for modern vessels.

Despite the introduction of catamarans on the route, the transition to a fully modern fleet has been slow due to high costs. According to report, Sardar Mirza Jamalundin Mahdakar, President of the Gateway Elephanta Jal Vahatuk Sahakari Sanstha stated that the cost of a single catamaran is approximately Rs 7-8 crore, making it difficult for operators to afford without government support. Unlike road transport, water transport in Maharashtra has historically lacked subsidies, further delaying the adoption of safer, more advanced boats.

Massive Funding For Improving Maharashtra’s Coastline Region

In addition to this new policy, the state budget has also allocated funds for key maritime infrastructure projects. A floating jetty will be constructed at Kashid in Raigad district to facilitate better coastal connectivity. Additionally, the government has announced a large-scale infrastructure initiative worth Rs 8,400 crore, backed by external funding, to improve facilities in Maharashtra’s coastal districts.

Mumbai, March 11: IndusInd Bank shares were locked in a 20 per cent lower circuit on Tuesday as the lender’s internal review projected an adverse impact of approximately 2.35 per cent on its net worth (as of December 2024).

The steep fall erased around Rs 14,000 crore in the bank’s market value. The stock hit a 52-week low of Rs 720.35, to go below the lower band on the NSE.

The bank’s net worth is expected to decline by nearly Rs 2,100 crore after accounting discrepancies of 2.35 per cent of its net worth were found in its derivatives portfolio during an internal review.

The Hinduja-promoted lender plans to absorb this loss in its Q4 earnings or the first quarter of the next fiscal year (FY26).

The internal review findings have sparked a string of target price cuts from several brokerages for the bank’s stock amid fresh turmoil, days after the Reserve Bank of India allowed only a one-year extension to Chief Executive Officer, Sumant Kathpalia.

The bank has appointed an external agency to independently review and validate its internal findings on the derivatives portfolio, as per the Reserve Bank of India’s September 2023 guidelines on bond investment classification and valuation.

IndusInd Bank will face a “litmus test” from the succession viewpoint and the board is likely to evaluate both external as well as internal candidates, Citi said. Recent developments have raised the risk perception and impact disclosed borrowings cost too, it added.

“We downgrade IIB to ‘HOLD’ from ‘BUY’ as we cut multiple to 1.0x from 1.4x driven by uncertainties relating to earnings quality and future leadership. Woes continue for IIB since an irregularity was unearthed in derivative accounting,” said Gaurav Jani from PL Capital- Prabhudas Lilladher.

This discrepancy spanned across a 5-7 year period till March 31 2024, however, due to an RBI directive, there are no irregularities with effect from Apr 1 2024.

“In our view, this episode had a bearing on RBI’s decision to extend MD and CEO’s tenure only for 1 year. Valuation is 0.9x on FY27 ABV and we trim target price to Rs 1,000 from Rs 1,400,” said Jani.

Mumbai: Finance Minister and Deputy Chief Minister Ajit Pawar presented the state budget in the Maharashtra Legislative Assembly today. The public has expressed confidence in us in the assembly elections, so Mahayuti is committed to maintaining their trust. In this budget, special concessions and facilities have been given to the middle class. An attempt has been made to solve the problems of the people. With this resolve, Ajit Pawar has presented the budget for 2025-26, which is the first annual budget presented by the Mahayuti government.

Presenting the budget in the Assembly, Ajit Pawar said in his speech that Maharashtra will not stop, development will not be delayed, he also claimed that large-scale projects will be completed in the state, which will increase employment opportunities and boost the economy.

The state has set a target of an economy of one lakh trillion. Work on the Bengaluru-Mumbai Industrial Corridor is underway. Along with better industrial facilities in the state, employment opportunities and a technical center in the state and establishment of Maharashtra Technical Textile Mission for development work have also been implemented. It has also been assured in the budget that electricity rates will be reduced in the state. Electricity rates in the state will be lower than the rates of other provinces.

Ajit Pawar has also promised to complete many facilities and projects in the state budget. The work of Navi Mumbai airport is 85 percent complete, while work has started on Nagpur airport. Establishment of markets for agriculture has been ensured. Rs 3610 crore has been allocated for the transport department, out of which work has started on a 41 km long metro route in Mumbai.

A special project has been included in the budget for Mumbai, in which Rs 64,783 crore has been allocated for Versova to Madha, Versova to Bhayander Coastal Road, Malind to Goregaon, Thane to Borivali and Orange Gate to Marine Drive underground road to eliminate traffic problems in suburban areas. Thane to Navi Mumbai International Airport will be connected to the international airports of Thane, Dombivali, Kalyan and other important cities.

The work of the missing link at Khapoli-Khandala Ghat on Mumbai-Pune Highway will be completed by August 2025. Mumbai, Navi Mumbai Global Market will be established as well as Taluka Market Committee will be established across the state. Housing Scheme: Financial assistance of Rs 50,000 will be given for the house. Implementation of Pradhan Mantri Awas Yojana will be ensured in the state. Under this scheme, assistance of Rs 50,000 will be provided to each person. Under the Pradhan Mantri Surya Ghar Yojana, Rs 1.30 lakh has been allocated for domestic electricity and Rs 1,000 crore for power generation of more than 500 MW.

The state government has so far spent Rs 33,232 crore on Ladli Behan in the budget, while the Finance Ministry has allocated Rs 36,000 crore for it. A Hope Mall will be started in every district to establish savings banks and 10 malls will be set up in the first phase.

A 200-bed hospital will be built in Thane of Ratnagiri district, which will provide medical facilities to the citizens. The second phase of construction of metro route will be implemented in Pune. In the second phase, Rs 9894 crore has been allocated for two metro routes. Both the metro projects have been sent for approval from the Central Government. A statue of Chhatrapati Shivaji Maharaj will be installed in Sangameshwar. Apart from this, Maratha Shaurya Smarak will be built in Panipat. A statue of Chhatrapati Shivaji Maharaj will be built in Agra.

In this budget of the state government, a new tax has been imposed on the citizens. In this, a lump sum tax of 7% has been ensured on the purchase of cars. This tax has been imposed on electric cars and other things. This tax has been imposed on the purchase of cars worth more than 30 lakhs so that the common citizens do not face any problem. The state government has presented a budget of 7 lakh thousand crores. In this deficit budget, the burden of tax has been imposed on the citizens.