It is reported that the government is on plans to privatise five public-sector companies by the end of the year. In the financial year 2022-23, the Centre aims to disinvest Rs 65,000 crore. It already has a disinvestment plan in place for all non-strategic and strategic areas.
Bharat Petroleum Corporation Ltd (BPCL), Rashtriya Ispat Nigam Limited (RINL) also known as Vizag Steel, and Pawan Hans are the three firms on the table to be disinvested this year. Aside from that, the government aims to sell its 5% interest in LIC through an initial public offering (IPO) later this month.
The government previously surrendered its 100 percent stake in Air India, as well as management control, to Tata group's wholly-owned subsidiary Talace Pvt Ltd earlier this year. With the highest proposal of Rs 12,100 crore, Tata Steel Long Products Ltd also won the bid to acquire Neelachal Ispat Nigam Ltd (NINL) as a strategic buyer.
According to Union Budget documents, the government has set a disinvestment target of Rs 65,000 crore for the current fiscal year 2022-23. In the previous year's budget, it set a disinvestment objective of Rs 1.75 lakh crore for the financial year 2021-22. Only Rs 78,000 crore could be obtained, representing a 55.4 percent drop.