Disinvestment: Government may sell stake in 3 PSUs

The government aims to raise Rs 36,000 crore revenue from minority stake sales in PSUs in 2016-17. Another Rs 20,500 crore will be raised from strategic stake sales in PSUs.

GN Bureau | July 20, 2016


#stake sale   #PSUs   #disinvestment   #current fiscal  

 The government is moving ahead with the plan for strategic disinvestment of the selected public sector undertakings (PSUs). And there could be at least two-three such stake sales in the current fiscal.

According to a news report in The Financial Express, the idea is to create momentum before accelerating such sales in the remaining period and use the non-debt revenue generated to fund development activities and infrastructure projects. 
 
NITI Aayog, which has been given the task to identify the PSUs for strategic sale, has already submitted two reports: the first identified 74 sick and loss-making companies for action while the second is to have recommended strategic disinvestment of about 30 other companies. The Aayog is preparing a second list of companies for strategic disinvestment to include more companies in the pipeline to be disinvested. In a strategic disinvestment, government stake can come down to below 49 percent in a PSU from up to 100 percent now. However, it could often take a long time to materialise depending on the complexity of the issues and the company involved. 
 
The administrative ministries and the department of investment and public asset management (Dipam) have been asked to work out the details on how to go about the strategic stake sales.
 

Comments

 

Other News

Development paradox: Falling poverty miracle and an inequality problem

India’s reduction in poverty over the past decade is a development achievement of considerable significance. The World Bank’s April 2026 ‘India Development Update’ estimates that the share of Indians living below the international extreme-poverty line of $3.00 per person per day i

In Arunachal, a river we call mother

In Arunachal Pradesh, the Siang is not just a river. For many of us, especially the Adi people, it is part of our family. Our grandparents fished in it. Children learned to swim in it. Our farms drink from it. When someone says a huge dam will be built on it, we do not hear the word "project".

A new retelling of the Mahabharata delves into key moments

In a time when every decision carries consequences and questions of ambition, power, loyalty, identity and moral choice continue to shape our lives, Dr. Arun Krishnan’s new book, ‘Mahakshana’ (Penguin India) offers a strikingly relevant retelling of the Mahabharata.  

Cabinet approves viability gap funding to develop grid-scale energy storage systems

The Union Cabinet, chaired by PM Narendra Modi, has approved the Viability Gap Funding (VGF) Scheme for Development of Grid-Scale Energy Storage Systems, with a total financial support of Rs.14,500 crore for the period FY 2026-27 to FY 2030-31. The scheme aims to support the development o

Cabinet creates a pathway to absorb Agniveers in Defence Forces

An objective assessment in terms of organisational requirements and operational efficiency has brought out the outstanding performance of Agniveers in terms of skills, motivation levels, physical fitness and technological prowess. As envisaged earlier, based on merit, 25% of Agniveers will be offered reg

Modi inaugurates, lays foundation stone of Pune Metro projects

Prime minister Narendra Modi inaugurated and laid the foundation stone for Pune Metro projects worth around ₹21,800 crore on Tuesday through video conferencing. Addressing the gathering on the occasion, the PM extended warm Diwali greetings to the people of Pune and Maharashtra and remarked that f

Upcoming Conferences



-->

Archives

Current Issue

Opinion

Facebook Twitter Google Plus Linkedin Subscribe Newsletter

Twitter