Undeterred by the political tussle over reform measures announced recently, the finance ministry is set to move into overdrive next week on initiatives to boost capital markets.
A senior finance ministry official told Business Standard the Cabinet’s appointment committee had approved the appointment of Anup Wadhawan, a 1985 batch Indian Administrative Service officer, as joint secretary in charge of capital markets. The official added a number of steps were likely to be announced as soon as he joined the ministry. These included the Rajiv Gandhi Equity Savings Scheme (RGESS) and a scheme for external commercial borrowings for affordable housing.
Currently, Wadhawan is joint secretary in the commerce ministry. In the finance ministry, he would succeed Thomas Mathew, who was shifted to Rashtrapati Bhawan earlier this month.
|ON THE AGENDA
- Cabinet’s appointment committee approves appointment of Anup Wadhawan, former IAS officer, as joint secretary in charge of capital markets
- Steps to be announced by the ministry include, Rajiv Gandhi Equity Savings Scheme and a scheme for ECBs for affordable housing
- Department of Disinvestment has invited bids from merchant bankers for divesting government’s stake in Oil India Limited.
- Process for disinvestment in NMDC, MMTC and Nalco has been initiated
- Ministry expects these measures to improve investor sentiment and help meet the disinvestment target of Rs 30,000 crore for this financial year
The ministry official said the final norms of RGESS, announced in the Budget, were ready and could be announced on any date approved by Finance Minister P Chidambaram.
Meanwhile, continuing with its efforts to push disinvestment with the help of offers for sale through stock exchanges, the Department of Disinvestment has invited bids from merchant bankers for divesting the government’s stake in Oil India (OIL). The deadline for expressions of interest by merchant bankers and brokers for 10 per cent government stake in OIL is October 4.
The process for disinvestment in NMDC, MMTC and Nalco has already been initiated. To meet the disinvestment target of Rs 30,000 crore for this financial year, the disinvestment department has invited bids from advisors for setting up an exchange-traded fund (ETF) for selling shares of public sector undertakings. The ETF would be an investment fund, traded like stocks on exchanges. It would have an underlying benchmark, possibly an index on a stock exchange. The deadline for submitting proposals to set up the central public sector enterprises ETF is October 8.
The ministry expects these measures would improve investor sentiment and ensure the government meets the disinvestment target for the current financial year.