NITI Aayog will submit this month its first report detailing disinvestment plan for some of the Central public sector enterprises (CPSEs). The Aayog member Bibek Debroy confirmed this here after an event organised by Bharat Chamber of Commerce.
“We would submit the first report this month," he said. The Union Finance Minister Arun Jaitley in his Budget speech for 2016-17 had indicated that the NITI would come out with lists of State-run enterprises for divestment.
Debroy said that there would be more than one such detailed list, but did not quantify the exact number. NITI Aayog is expected to identify different sets of CPSEs – one for profit making ones, the other set for sick or potentially sick enterprises.
For the profit making ones, there would be two different groups of public enterprises. In the first group, such companies, mostly listed, would require partial disinvestment. The sick or potentially sick companies could have recommendation for outright sale of stake or their assets.
To leverage the assets of CPSEs, the Centre has adopted “a new policy for management of Government investment” in them, the Finance Minister had said.
“We will encourage CPSEs to divest individual assets like land, manufacturing units etc to release their asset value for making investment in new projects. The NITI Aayog will identify CPSEs for strategic sale," the Finance Minister had added.
The Centre has set an ambitious plan for raising Rs 56,500 crore through disinvestments in 2016-17. In 2015-16, the Centre could raise about Rs 25,300 crore though disinvestments.