2021-05-04 16:32:36
Disinvestment
* Disinvestment means the dilution of stake of the Government in a public enterprise.
* Strategic disinvestment is transferring the ownership and control of a public sector entity to some other entity (mostly to a private sector entity).
* If the government is selling minority shares in a PSE (less than 50%), it will continue to be the owner of the PSE. This is normal disinvestment procedure.
* Strategic disinvestment is the sale of a substantial portion of the Government shareholding of a central public sector enterprise (CPSE) of 50% or more along with transfer of management control.
* The Department of Investment and Public Asset Management (DIPAM) under the Ministry of Finance has been made the nodal department for the strategic stake sale in the Public Sector Undertakings (PSUs).
* DIPAM and NITI Ayog will jointly identifying PSUs for strategic sale.
* Cabinet Committee of Economic Affairs (CCEA) is mandated to approve strategic disinvestment of
CPSEs.
741 views13:32