Government aims to complete strategic privatisation of 4 firms by March-end
Pawan Hans, Shipping Corporation of India, Neelachal Ispat and BEML are four companies in the list
The government aims to complete strategic privatisation of Pawan Hans, Shipping Corporation of India, Neelachal Ispat and BEML by the end of the current financial year, according to a report.
The ambitious target comes after the successful sale of Air India to Tata group. Earlier this week, disinvestment in Central Central Electronics Ltd (CEL) was completed too.
The Times of India quoted Tuhin Kanta Pandey, secretary in the department of investment public asset management (Dipam), as saying that the government is working on several transactions and hoping to conclude them year-end.
Privatisation
According to the Times of India, privatisation of oil refiner BPCL is expected in the next financial year only. So is the case with divestment in IDBI Bank and a general insurer. Two banks—most probably Indian Overseas Bank and Central Bank of India—also figure in the selloff list which requires legislative amendments.
The newspaper quoted Pandey as further saying that CEL had no major liabilities. Private ownership will help CEL and enable it to participate more actively in the ‘Make in India’ initiative, especially when electronics is a major part of the Atmanirbhar Bharat programme, he said.
Air India sale
On Air India sale, he said that the government is aiming to the complete the transaction by the month-end. While regulatory approvals are awaited, Air India needs to make some filings in other countries too.
The report further said the government needed to complete certain formalities related to debt, adding that banks have to sort out some of the Dipam is processing the privatisation of 17 public sector companies. According to the report, Scooters India and units of Cement Corporation now going to be shut down.