PSU Watch logo

| NCL inks MoU with CIL, NTPC JV for installation of 50 MW solar power PV project |   | ‘SBI collected Rs 300 crore from zero balance accounts for certain services in 5 years |   | Power consumption grows nearly 47% to 28.34 BU in the first week of April |   | Centre may redraw bank recapitalisation plan in wake of new challenges |   | Rise in Covid cases to delay demand recovery in global oil market: ICICI Securities Report |   | IRSDC invites e-RFP for Bijwasan railway station development |  

Disinvestment countdown: Govt has mopped up Rs 53,500 cr out of its Rs 80,000 cr target

That means that the Centre will have to raise Rs 26, 442 crores to meet the divestment target it set for itself for this fiscal. The government has set a disinvestment target at Rs 90,000 crore for the next fiscal year

Disinvestment countdown: Govt has mopped up Rs 53,500 cr out of its Rs 80,000 cr target
Disinvestment countdown: Govt has mopped up Rs 53,500 cr out of its Rs 80,000 cr target

New Delhi: With just a month to go before this financial year ends, the government has mopped up Rs 53,558 crore so far against the full-year budget target of Rs 80,000 crore. That means that the Centre will have to raise Rs 26, 442 crores to meet the divestment target it set for itself for this fiscal.

The current status

The Bharat-22 ETF collected nearly Rs 10,000 crore for the exchequer. The issue received bids amounting to Rs 49,528 crore, with Rs 38,000 crore coming in from foreign investors and Rs 2,000 crore through retail buyers. The government has also sold about 3 percent stake in Axis Bank held via SUUTI through a sale offer, garnering about Rs 5,300 crore. Around Rs 2,647 crore more was added to the divestment pool through share buyback by Indian Oil Corporation Ltd, as Bharat Heavy Electricals Ltd, NHPC Ltd and Cochin Shipyard Ltd fetched Rs 992 crore, Rs 398 crore and Rs 137 crore, respectively. NLC India Ltd’s share buyback earned about Rs 990 crore, while National Aluminium Company Ltd and Kudremukh Iron Ore Company collected Rs 260 crore and Rs 205 crore, respectively, through share buyback. HSCC’s strategic disinvestment garnered Rs 285 crore. Sale of CPSE ETF units earned Rs 17,000 crore while an offer-for-sale of Coal India Ltd collected Rs 5,218 crore. Additionally, Bharat-22 ETF’s sale earned Rs 8,325 crore in June last year.

The initial public offer of public sector undertakings Garden Reach Shipbuilders & Engineers Ltd, Mishra Dhatu Nigam Ltd Ircon International Ltd and Rites Ltd garnered more than Rs 1,700 crore.

Disinvestment target for next fiscal

The government has set a disinvestment target at Rs 90,000 crore for the next fiscal year.