The government has set a target of raising Rs 1.75 lakh crore in the next financial year from the disinvestment program to revive the economy affected by the epidemic and to finance the projects.
The initial public offering (IPO) of Life Insurance Corporation of India (LIC), India’s largest insurance company, is expected to come after October this year. Air India and BPCL will be sold in the first half of the next financial year. The government has set a target of raising Rs 1.75 lakh crore in the next financial year from the disinvestment program to revive the economy affected by the epidemic and to finance the projects. The government also wants to sell Shipping Corp of India (SCI), IDBI Bank Ltd and two other public banks in this financial year.
Tuhin Kant Pandey, Secretary, Department of Investment and Public Asset Management (DIPAM), said that the government has introduced necessary legislative amendments for disinvestment of stake in Life Insurance Corporation of India (LIC) and IDBI Bank through Finance Bill.
Air India, BPCL get Ruchipatra to government
The Modi government has set a target of record capital expenditure in the next financial year to get the economy out of the trouble. Government has received interest from prospective buyers for Bharat Petroleum Corporation Limited (BPCL) and Air India.
Pandey said, LIC Amendment Act and IDBI Bank Amendment Act have been included in the Finance Bill -2021. A separate bill will not come for this. LIC’s IPO will come after October. Deepam manages the government’s stake in government-owned companies.
Government will sell these companies
Finance Minister Nirmala Sitharaman had said in her budget speech that with the strategic disinvestment of BPCL, Air India, Shipping Corporation of India, Container Corporation of India, IDBI Bank, BEML, Pawan Hans, Neelachal Ispat Nigam Limited in next financial year IPO will come.
The privatization process of Air India, BPCL, Pawan Hans, BEML, Shipping Corp (SCI), Neelachal Ispat Nigam Limited and Ferro Scrap Corporation Limited (FSNL) has also been initiated.
