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Authorities to go forward with divestment of 23 PSUs cleared by Cupboard: Nirmala Sitharaman

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Finance minister Nirmala Sitharaman (File photograph: ANI) NEW DELHI: The federal government is engaged on finishing the stake sale course of of about 23 public sector firms whose divestment has already been cleared by the Cupboard, finance minister Nirmala Sitharaman […]

Finance minister Nirmala Sitharaman (File photograph: ANI)

NEW DELHI: The federal government is engaged on finishing the stake sale course of of about 23 public sector firms whose divestment has already been cleared by the Cupboard, finance minister Nirmala Sitharaman mentioned on Monday.
The minister additionally mentioned she would quickly meet small finance corporations and non-banking finance firms (NBFCs) to evaluation the credit score being prolonged by them to companies.
Sitharaman, in a dialog with Hero Enterprise chairman Sunil Kant Munjal, mentioned the federal government as a part of the Aatmanirbhar Bharat bundle had introduced opening up of all sectors for non-public participation.
“The ultimate name as to that are the sectors that are going to be known as ‘strategic’ shouldn’t be made but, that must be introduced and I can not preempt what announcement is prone to come.
“However in these sectors which we’re going to name strategic, the non-public will clearly be allowed to return in however the public sectors shall be restricted to a most of 4 items,” she mentioned.
She mentioned this may result in consolidation of public sector undertakings (PSUs) in addition to scaling up of their operations.
Speaking about disinvestment plans, the minister mentioned the federal government needs to promote stake in public sector firms at a time when it fetches the proper value.
“There are already almost 22-23 such PSUs which have been cleared by the Cupboard for disinvestment. The intent is obvious that a minimum of for these which had already been cleared by the Cupboard, we should disinvest,” Sitharaman mentioned.
For the 2020-21 fiscal, the federal government has set a disinvestment goal of Rs 2.10 lakh crore. Of this, Rs 1.20 lakh crore will come from disinvestment of public sector undertakings and one other Rs 90,000 crore from stake sale in monetary establishments.
With regard to extending credit score to the business, Sitharaman mentioned underneath the Emergency Credit score Line Assure Scheme (ECLGS), micro, small and medium enterprises (MSMEs) can avail loans.
As of July 23, 2020, the whole quantity sanctioned underneath the 100 per cent Emergency Credit score Line Assure Scheme by public and non-public sector banks stands at Rs 1,30,491.79 crore, of which Rs 82,065.01 crore has already been disbursed.
“Now I’m pushing the banks saying that it isn’t their threat, we’ve taken the chance on ourselves, they need to now facilitate the method…
“Now we have very clearly advised banks that they aren’t going to take a seat on judgement of anyone’s viability. Now it’s the query of giving them assets, hand holding them in order that they survive,” Sitharaman added.

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