Strategic sale of IDBI Bank, BPCL, Shipping Corp, Container Corporation, Neelachal Ispat Nigam Ltd, among others, to be completed in 2021-22 fiscal year beginning April 1
The government on Monday budgeted ₹1.75 lakh crore from stake sale in public sector companies and financial institutions, including 2 PSU banks and one insurance company, in the next fiscal year.
Unveiling the PSE policy in Budget 2021-22, Finance Minister Nirmala Sitharaman said barring four strategic areas, public sector companies in other sectors will be divested. The policy would give a clear roadmap for disinvestment in strategic and non-strategic sectors.
She said strategic sale of IDBI Bank, BPCL, Shipping Corp, Container Corporation, Neelachal Ispat Nigam Ltd, among others, would be completed in 2021-22 fiscal year beginning April 1. Also legislative amendments required for LIC IPO would be brought in 2021-22.
She said NITI Aayog has been asked to work on next list of central public sector companies for strategic disinvestment.
Sitharaman said a revised mechanism for fast-tracking closure of loss making PSUs would be worked out and an incentive package would be developed to incentivise states to sell stake in state PSUs.
To monetise lands owned by CPSEs, a special purpose vehicle (SPV) would be developed.
Finance Minister Nirmala Sitharaman had in her previous budget for 2020-21 set a target of raising ₹2.1 lakh crore from privatisation and sale of minority stakes in state-owned companies. This include ₹1.20 lakh crore from selling stake in CPSEs and ₹90,000 crore from stake sale in financial institutions.
So far this fiscal, the government has garnered ₹19,499 crore through minority stake sale in CPSEs and share buybacks.