The government will restructure the National Investment Fund (NIF), where money received from disinvestment is parked, according to sources.
The prescription coincides with government declaring disinvestment as one of its top most priorities for mobilisation of resources, particularly, as it is free from the pressures of the Left parties that had obstructed the process in the last five years. Asking the government to sell a minimum of 10 per cent equity in all profit-making unlisted PSUs, it said: "Complete the process of selling 5-10 per cent equity in previously identified profit making non-Navratnas."
The Department of Disinvestment proposes to begin the stake sale process in September.
The government is working on a plan to nurse sick public sector units back to health before any disinvestment takes place in these companies, chairman of the PSUs revamp board Nitish Sengupta has said.
Government will offload 9.5 per cent of its ownership.
The writer believes that the current stock market rally will continue until early 2013. He predicts this based on partial success of current Parliament session, resolution of US' fiscal cliff, and government disinvestment.
The Vedanta group on Wednesday confirmed putting in a preliminary expression of interest (EoI) for buying the government's stake in Bharat Petroleum Corp Ltd (BPCL).
The merchant bankers are required to submit their application by December 14.
The government is likely to come out with 10 per cent stake sale offer of Oil India in the second fortnight of this month, followed by NTPC's issue in the first 14 days of February, a Finance Ministry official said.
Chairman of insurance giant says it has invested Rs 16,000 cr in equity till Oct.
That's a big change that was made possible due to corporate tax cuts. Corporation tax collection in FY22 will be lower than even the FY18 levels, reports
The government is keen to divest stake in PSU firms .
The government's 4 per cent stake sale in Hindustan Copper was on Friday over-subscribed, marking the start of ambitious Rs 30,000-crore (Rs 300 billion) disinvestment programme that is crucial for meeting the fiscal deficit target.
Government can announce the decision as soon as Thursday.
The government on Friday approved sale of its minority stakes in four public sector firms -- Hindustan Copper, Oil India, MMTC and Nalco-- to raise up to Rs 15,000 crore.
Sources in the know said the government would initiate talks with businesses, including Tatas, shortly for divesting its stake in the national carrier.
The Budget to be presented in the first week of July is likely to spell the intention of the government to disinvest, but may not give the clear picture on the time-frame and other details on the policy structure, the source added. The exact roadmap for disinvestment will include the extent and coverage of disinvestment, categories of companies -- Navratnas, mini-navratnas or sick companies -- to be included in it.
Euro zone leaders clinched a deal with Greece on Monday.
Once decisions are taken to sell stock in certain state-controlled enterprises, there is no reason to not start scheduling sales immediately.
Price correction over post-election peaks could throw disinvestment calculations awry.
The government on Friday exuded confidence that it will be able to raise Rs 25,000-Rs 30,000 crore from disinvestment and will remain very close to the fiscal deficit target of 5.1 per cent of the GDP in 2012-13.
The government is bullish on Coal India and ONGC's stake sale programme which are to be held soon.
A senior official from the Department of Disinvestment told Business Standard it was decided in a meeting on Thursday that the fresh date for RINL's IPO would be in the third or fourth week of July.
Voicing his displeasure over several incidents of mob violence in the country, he said, "Lynching is not the word from Indian ethos, its origin is from a story in a separate religious text. We Indians trust in brotherhood. Don't impose such terms on Indians."
Bureaucrats heading disinvestment and financial services usually don't get appointed as finance secretary.
LPG customers of Bharat Petroleum Corporation Limited (BPCL) will continue to get cooking gas subsidy post-privatisation of the nation's second-biggest fuel retailers, Oil Minister Dharmendra Pradhan said on Friday. "Subsidy on LPG is paid to consumers directly and not to any company. So the ownership of the company that sells LPG is not of any material consequence," Pradhan told PTI. The government gives 12 cooking gas (LPG) cylinders of 14.2-kg each to households in a year at a subsidised rate.
Govt seems to bullish to meet its disinvestment target in current fiscal.
Disinvestment Secretary Mohammad Haleem Khan told Business Standard that till now, public sector companies were only allowed to invest in mutual funds, apart from putting money in bank fixed deposits, but the Cabinet had now approved the proposal to allow these companies to buy equities of other CPSEs.
'A sum of Rs 6,000 a year is very significant for a small farmer whose land holding is very small and whose produce is very small. All these calculations on a daily basis are extremely unfortunate and an insult to farmers.'
Move aimed at avoiding crowding of public issues during the Centre's mega disinvestments in coming months.
"As of now there is no abnormality due to the injury," Dr Gandhi added.
During the first quarter ended June, 2014-15 fiscal, LIC earned a total premium of Rs 14,016 crore.
Life expectancy of Indians at birth in 2019 was 69.7 years while Bangladesh has a life expectancy of 72.6 years and Pakistan 67.3 years, the 2020 Human Development Report said.
If receipts from disinvestment, tax buoyancy and black money scheme offset shortfall in spectrum sale, higher expenditure due to pay commission's recommendations and capital expenditure, then the government would be able to meet the target of controlling fiscal deficit at 3.5 per cent of GDP this financial year.
Divestment Ministry on Friday said it has received in-principle clearance from Petroleum Ministry and is going ahead with the sale of government equity in Oil India Ltd (OIL).
The divestment of Bharat Petroleum Corporation (BPCL) may hit a fuel price hurdle, according to officials dealing with the matter. They pointed out that the inconspicuous administered price regime could hamper the prospects for potential buyers of BPCL. A senior oil ministry official said public-sector oil-marketing companies (OMCs) take a hit when they sell petrol, diesel, and liquefied petroleum gas (LPG), three of the most popular petroleum products in the country.
Government determined to bring down fiscal deficit to 5.1 per cent of GDP next fiscal.
Either the stake in these companies will be sold or they may partner private firms.
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With Oil Ministry continuing to be opposed to selling IOC shares on stock market like other disinvestments, an Empowered Group of Ministers headed by Finance Minister P Chidambaram today decided to sell 24.27 crore shares or 10 per cent government stake in the company to Oil and Natural Gas Corporation and Oil India Ltd.
Budget for 2022-2023 has returned to its agenda for protectionism in the name of creating a self-reliant India, points out A K Bhattacharya.
