Dipam seeks to make dividends from PSUs part of disinvestment target

The government is half way against the disinvestment target of Rs 65,000 crore for the current fiscal year

The Department of Investment and Public Asset Management (Dipam) has suggested that dividends from public sector undertakings (PSUs) be accounted as divestment collections. This is because both are revenue resources for the government.

The department, which deals with disinvestment, is learnt to have made this suggestion to the North Block. It emphasised that keeping a certain target or roadmap does not really work in market-oriented deals.

It has suggested making dividends a part of the overall budgeted target for disinvestment ahead of the Union Budget, expected to be presented on February 1.

Currently, PSU dividends received by the Centre do