Government Working On Privatisation Policy: ET Report

0

The Union Cabinet is working on a policy that will see privatisation of state-run companies under a proposal announced as part of the Aatmanirbhar Bharat Abhiyan.

The government may completely exit non-strategic sectors and reduce its presence in strategic industries, according to a report by The Economic Times.

The Department of Investment and Public Asset Management (DIPAM) will soon finalise a draft where sectors will be identified as strategic and non-strategic, The Economic Times reported.

The strategic industries list is expected to include banking, petroleum, atomic energy, defence, space, and ports, the report added.

Finance Minister Nirmala Sitharaman had on May 17 said public sector enterprises (PSEs) in non-strategic sectors will be privatised.

Private players will be permitted to participate in strategic sectors, but at least one company should remain in the public sector.

To reduce wasteful administrative costs, the number of PSEs in strategic sectors will be limited between one and four.