For the next 5 years, govt is keen on keeping it ‘private’ everywhere, including PSUs
Government intends holding below 51 percent for PSUs and comply with public holding norms, said Atanu Chakraborty
July 12, 2019
The ownership and control of PSUs need to be separated for creating more investment space and a larger float for international investors, Atanu Chakraborty, Secretary of Department of Investment and Public Asset Management, said on Friday. The government has also expressed its intent to bring down the government and government-controlled entities’ holding to below 51 percent, he added.
He was interacting with industry leaders on Budget 2019-20 at a meeting organised by Confederation of Indian Industry (CII) in New Delhi.
Many more CPSEs will be taken up for disinvestment
“Many more CPSEs, other than Air India, will be put on the block for strategic disinvestment. About 14 are already on the list. Minimum public shareholding norms will be met by PSUs as applicable for any other company registered under Companies Act,” Chakraborty said.
‘Budget 2019 aims to open economy to private investors’
Budget 2019-20 aims to open up the Indian economy to the private sector and global investors, recognising the fact that domestic industry and foreign investors would be the prime movers of growth in India with the government playing a supportive role, Subhash Chandra Garg, Secretary of Finance and Economic Affairs, said on Friday.
‘A clear goal’
He added that the Budget has set out a clear goal for the government for the next five years to achieve $5-trillion economy with a high degree of equity by ensuring delivery of minimum services to every Indian, including housing, sanitation, and water supply, which will enhance ease of living, said Garg.
Fiscal prudence and the government’s decision to opt for external financing of the deficit will help channelise more investible resources for the private sector. It is an opportune time for the private sector to invest in infrastructure and the digital economy to spur growth, he added.
On the suggestion of developing a portal for monitoring delayed payments other than the one for MSMEs, Garg said that the government would be open to working with industry to address the issue.