Press Trust of India / Kolkata Nov 01, 2009, 17:40 IST
The government is considering a proposal to elevate some Navratna PSUs to Maharatna companies to allow them more freedom regarding investment, Bhaskar Chatterjee, secretary of the Union government's department of public enterprises, today said.
Chatterjee said the proposal is likely to get the approval of the Union cabinet within a month.
"The proposal has been formulated and it will be sent to the Union Cabinet for clearance, which is expected within a month," he told reporters on the sidelines of a programme to celebrate Coal India's foundation day.
He said the Maharatna status would enable the companies to have more freedom to decide on investment, joint ventures and capacity expansion.
The board of a Maharatna PSU could decide about investment of Rs 5,000 crore, including foreign acquisition instead of the Rs 1,000-crore limit for Navratna boards, he said.
He said to qualify for the Maharatna status, a PSU must earn profits in the last three years and should be listed in the stock exchanges. It should also register a turnover of at least Rs 15,000 crore in the last three years.
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