Buy Backs, Stock Exchange Listings Allowed to PSUs in Divestmentmode Rupees 30,000 Crores to Raised Through Disinvestment.

Press Information Bureau

Government of India

Ministry of Finance

16-March-2012 13:33 IST

Buy Backs, Stock Exchange Listings Allowed to PSUs in Divestmentmode

Rupees 30,000 Crores to Raised Through Disinvestment

Heralding the Government’s evolved approach to divestment of Central Public Sector Enterprises (CPSEs), the Union Finance Minister ShriPranab Mukherjee today said CPSEs are being given a level-playing field vis-à-vis the private sector with regard to practices like buy-backs and listing at stock exchange. Presenting the General Budget 2012-13 in LokSabha, he said the treasury management options for CPSEs have also been enhanced, resulting in improvement in the returns on public assets, support for transparent environment for the divestment process, besides unlocking the value and resources for all stakeholders.

The Finance Minister said, in 2011-12, as against a target of Rs 40,000 crore, the Government will raise about Rs 14,000 crore from disinvestment while for 2012-13, Rs 30,000 crorewould be raised through disinvestment. He reiterated that while the Government is committed to enhancing people’s ownership of CPSEs, at least 51 per cent ownership and management control will remainwith it.

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