IRCTC listing still lingering despite clearance in 2017

Indian Railways yet do not have a comprehensive strategy to expedite the process of listing railway PSUs

vishwas

Vishwas Dass | June 14, 2018 | New Delhi


#Piyush Goyal   #Stock Exchanges   #IRCTC Listing   #Indian Railways   #PSU   #IRCTC  


Ministry of railways’ decision of holding the listing of Indian Railway Catering and Tourism Corporation (IRCTC) has exposed its seriousness in listing its public enterprises in stock exchanges.

Although the decision was taken one year back, the national transporter does not have a comprehensive strategy to facilitate the process.

The railways ministry has been delaying the listing of its PSUs for the past one year due to reasons undisclosed. It has not taken proactive measures to list its enterprises to garner funds from the market and introduce the needed transparency.

Post-demonetisation, the centre had permanently waived off the service charge levied by IRCTC on the e-ticket, which was its sole income medium. The IRCTC incurred losses of Rs 500 crore on account of this decision and so far a meager Rs 80-90 crore has been reimbursed by the finance ministry. The service charge was withdrawn on lieu of promoting digital payment.

As the centre did not compensate, the IRCTC kept on incurring losses resulting in poor evaluation of the enterprise. Sources said the railways have made little efforts to compensate losses incurred by IRCTC post-demonetisation.

The cabinet committee on economic affair, in 2017, had cleared the decks to list 11 public sector undertakings, including five railway PSUs namely IRCTC, RITES, IRFC, RVNL and IRCON.

Three days back, minister of railways Piyush Goyal affirmed that he himself had delayed the evaluation process of IRCTC because it was not getting the anticipated evaluation.  He said the huge database of IRCTC is not being captured in the valuation. “I am trying to see how we can capture and cross utilise these databases so that we can get better valuation which is comparable to other large customer-base companies,” the minister said.

Goyal also said that the listing of RITES, IRCON and RVNL is underway and would be concluded soon.

The IRCTC has got a huge customer data but it has not compiled it which has now become a problem in being getting evaluated.


 

Comments

 

Other News

On a personal note: Javed Jaffrey

After his much-appreciated debut in Meri Jung in 1985, Javed Jaffrey inspired a new generation of dancers. He then turned from dance to comedy. The versatile actor constantly changes his styles and his live, film, TV and radio appearances always promise novelty and surprise. In 2014 he joined the Aam A

Allegations against CJI: Inquiry will strengthen the independence of the judiciary

Yes, we must stand rock solid with the judiciary and the judges. We must protect the independence of the judiciary too. What does this mean in the present context of a very serious charge of sexual harassment levelled by a former employee of the court against the CJI?  We are told that there is a larg

“Managing data is challenging”

The Centre for Railway Information Systems (CRIS) is a society set up by the railways ministry in July 1986 to provide IT related services to the Indian Railways. CRIS deals in a gamut of functions, like passenger ticketing, freight operations, train dispatching and control, crew management, e-procurement,

A boost to those who need it most

What are 600 million people? Almost twice the population of the US. What are 500 million people? About three-fourth of the population of Europe. Why are we talking about these numbers? Well, because as per a study by Sandhya Krishnan and Neeraj Hatekar (‘Rise of New Middle Class in India and Its

Expanding Eureka!

Abright yellow van with figures of children playing with a whirligig, a Newton’s cradle, a magnetic compass rolls into the Government Higher Primary School in Kittaganahalli, on the outskirts of Bengaluru. Students in the playground leave what they are doing and mill about it in excitement. For they

The spark in the classroom

Not many children dream of starting an idyllic school of their own when they grow up. But Ramji Raghavan, founder of the Agastya International Foundation – which fosters the creative learning of science in stude



Current Issue

Current Issue

Video

CM Nitish’s convoy attacked in Buxar

Opinion

Facebook    Twitter    Google Plus    Linkedin    Subscribe Newsletter

Twitter