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Business News/ Economy / Govt received 6,138 cr from Coal India, MSTC as dividend tranches: DIPAM
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Govt received ₹6,138 cr from Coal India, MSTC as dividend tranches: DIPAM

Segregating the amount, DIPAM said that ₹6113 crore were received from Coal India, while ₹25 crore was from MSTC.

Tuhin Kanta Pandey, DIPAM secretary.Premium
Tuhin Kanta Pandey, DIPAM secretary.

The Department of Investment and Public Asset Management (DIPAM) on 5 December announced that it has received about 6113 crore and 25 crore from Coal India Ltd and MSTC as dividend tranches.

Taking to Twitter, DIPAM Secretary Tuhin Kanta Pandey wrote, "Government has respectively received about 6113 crore and 25 crore from Coal India Ltd and MSTC as dividend tranches."

ALSO READ: Govt gets 5,001 cr dividend from ONGC; dividend from CPSEs reach 23,797 cr

Earlier on 28 November, the DIPAM had informed that the central government had received around 5,001 crore as dividend tranche from ONGC taking the total dividend receipt from Central Public Sector Enterprises to 23,797 crore till date so far this fiscal.

In 2020, the DIPAM advised CPSEs to follow a consistent dividend policy and strive to pay higher dividends taking into account factors like profitability, capex requirements, cash/reserve and net worth.

Guidelines say that CPSEs are required to pay a minimum annual dividend of 30 per cent of profit after tax (PAT) or 5 per cent of net worth, whichever is higher.

The revised Budget estimate for dividends from CPSEs was lowered to 46,000 crore from 50027 crore estimated in the Budget earlier. In 2021-22, the Budget had pegged receipts from dividends of CPSEs at 50,027 crore.

The government had in 2016 revised the dividend distribution policy of Public Sector Undertaking (PSU) entities by asking them to pay 30% of post-tax profit or 5% of net worth, whichever is higher, as dividend every year. A week ago, the government received 914 crore from state-owned GAIL (India) . Ltd as a dividend tranche.

With agency inputs. 

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Published: 05 Dec 2022, 02:17 PM IST
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