Page 2 - Privatisation

Strong economic base to help new govt make India a developed nation by 2047

India's world record beating economic growth rate together with robust tax revenues, a fast expanding digital and financial infrastructure and a strong manufacturing sector will give the new government a base for unleashing next generation reforms that may make the country a developed nation by 2047. The new government will however have to tackle with problems like unemployment and rural distress, which seemed to have played a major role in voting pattern in states like Uttar Pradesh, while also keeping inflation under control. Given that no party, including BJP, have a clear majority of its own, tough reforms like big ticket privatisation and labour law reforms may take a backseat. As per the available trends, BJP is likely to win about 240 seats in a 543- member Lok Sabha. It would have to rely on its allies like TDP and JDU to form the next government. The new government will have to build upon the 8.2 per cent GDP growth recorded in 2023-24 and carry on with the reforms to make

Modi govt used privatisation as weapon to weaken reservations: Ramesh

The Congress on Sunday attacked the BJP over Home Minister Amit Shah's quota remarks in Uttar Pradesh, alleging that the Modi government has used privatization as a "weapon" to weaken reservations for SCs, STs and OBCs in the last 10 years. The opposition party also claimed that the secret behind the BJP's '400 paar' slogan is that they will openly try to end reservation this time. The Congress' attack came after Shah, speaking at a UP rally, said the BJP will neither remove reservations for SCs, STs and OBCs nor will it allow anyone to do so, calling it a "Modi guarantee". Responding to Shah's remarks, Congress general secretary Jairam Ramesh said, "Mr. Home Minister when airports were handed over to the prime minister's best friend in various cities, wasn't reservation finished there? When Air India was sold, wasn't the reservation finished there? When you were going to sell steel plants and oil refineries, wouldn't that have ended reservation there?" "Earlier IPCL, BSNL, Ashoka

Kharge writes to President Murmu against 'privatisation' of Sainik schools

Indian democracy has conventionally kept armed forces away from any partisan politics, but the central government has "broken" this well-enshrined convention, Kharge added

UK's Thames Water faces new crisis as shareholders refuse to invest

The group has become a poster child for the failures of privatisation, after its performance deteriorated in the 2010s when its previous investors took out huge dividends

Kerala Budget: Govt hikes excise duty on liquor, pitches for privatisation

A cash-strapped Kerala government on Monday increased court fees and excise duty on liquor and pitched for public-private funding in key areas to raise funds for the implementation of various developmental projects in the state budget for the fiscal 2024-25. Despite expectations, the government opted not to enhance social welfare pensions and also provided only a nominal increase of Rs 10 in the minimum support price for rubber -- a major cash crop of the state -- enhancing it to Rs 180 from Rs 170 earlier. Finance Minister K N Balagopal tabled the fourth budget of the second Pinarayi Vijayan government without hiding the financial constraints it is facing, while attacking the Centre for the alleged neglect it shows towards the state. Seeking to raise additional revenue, the budget proposed a hike of Rs 10 per litre in excise duty on Indian-made foreign liquor (IMFL) and an increase of 15 paise per unit in electricity duty for consumers who generate and consume energy for their own

Govt scraps sale of Salem plant; 3rd SAIL unit's privatisation put on hold

The government on Wednesday said it has decided to scrap the privatisation of SAIL's Salem Steel Plant (SSP) in Tamil Nadu. This is the third unit of public sector major SAIL where the government has decided not to go ahead with the strategic sale. Earlier in 2019, it decided to halt the privatisation of Durgapur-based Alloys Steels Plant (ASP) while in 2022, the sale of Visvesvaraya Iron and Steel Plant (VISP) in Bhadravati, Karnataka, was called off citing a lack of interest from bidders. In 2018, the Cabinet Committee on Economic Affairs (CCEA) approved the strategic sale of these three units of Steel Authority of India Ltd (SAIL). Accordingly, global Expressions of Interest (EoIs) were invited on July 4, 2019, by SAIL for SSP. "Multiple EoIs had been received and bidders were shortlisted. However, due to the lack of interest of shortlisted bidders to proceed further with the transaction, the Government of India, with the approval of Alternative Mechanism (Empowered Group of ...

Chaudhari emphasises role of private sector in boosting IAF's capability

Private industries will play a very important role not only in enhancing Indian Air Force capabilities but also in increasing the productivity and production ability of defence public sector units, Air Chief Marshal Vivek Ram Chaudhari said on Sunday. Responding to a question during a session at the Synergia Conclave 2023, he said the private industry also needs to ensure that they match up with the production capability to ensure that the rollout of fighters that the Air Force orders takes place on time. He said there is definitely a huge role for the private industry to enhance IAF's capability by helping the lead integrators roll out aircraft. Without doubt, the private industry will play a very important role, not only in enhancing our capability but also in enhancing the productivity or the production capability of the defence PSUs, the IAF chief said. What we have to understand is that though we place the order on the defence PSU for any equipment, they (the private sector) w

Govt-run firms given to PM's industrialist friends: Priyanka Gandhi in MP

Congress leader Priyanka Gandhi Vadra on Wednesday hit out at the Bharatiya Janata Party (BJP), alleging that the ruling party's policy is to hand over the control of government-run companies to industrialists. She also said country's first prime minister Jawaharlal Nehru's idea behind setting up institutions like the Indian Institute of Management (IIM) and the All India Institute of Medical Sciences (AIIMS) was to take the country forward. Addressing a gathering at Bhopal in poll-bound Madhya Pradesh, she said, "The Congress brought IIM and big hospitals like AIIMS, and Jawaharlal Nehru's thought behind it was to set up such institutions which will take the country forward." "But it has become BJP's policy to hand over the government-run companies to industrialists and take out the money from people's kitty," she alleged. Targeting the BJP-led Centre over the condition of Bharat Heavy Electricals Limited (BHEL), Gandhi claimed that government-run companies have been given to ...

Centre aiming to review list of public banks up for privatisation: Report

A panel may also decide the quantum of shareholding that the government would dilute in banks while deciding the weightage to be given to banks

Centre invites bids for privatisation of Indian Medicines Pharmaceutical

Interested buyers in Indian Medicines Pharmaceutical should submit initial bids to the government by Oct 15, according to the government document

Employees' union stages protest against privatisation of IDBI bank

Drawing attention to the problems, Nagarajan added that the move to lower the stake in the bank will affect the financial inclusion programme of the government

Land spinoff holds up $232 million BEML privatisation deal: Reports

The Indian government is looking to sell 26% out of the total 54% stake it holds in the company along with a transfer of management control

Move to privatise PSBs will be opposed tooth and nail, says AINBOF

Any move to privatise public sector banks (PSBs) will be opposed "tooth and nail", the All India Nationalised Bank Officers Federation (AINBOF) asserted on Wednesday. AINBOF general secretary Sanjay Das said that bank nationalisation was the most successful and biggest economic reform in independent India and paved the way for the public sector banks to play a crucial role in the development in all sectors of the country. With high unemployment, inflation and economic inequalities continuing, there is a need to have control on capital which can be done only through expansion of PSBs and not by handing over these precious assets to "crony capitalists", Das said on the occasion of 55th year of bank nationalisation in the country. The PSBs promoted financial inclusion, mobilised savings and channeled funds to vital sectors of the economy like agriculture, SMEs, education and infrastructure, he said. "The purpose of social control was to accomplish widest possible distribution of bank

PSU banks in real danger of privatisation despite a crucial role: AIBOC

All India Bank Officers' Confederation (AIBOC), the apex body of bank officers in the country, on Tuesday said state-run lenders are in "real danger of privatization" despite playing a crucial role in closing the economic divide in society. On the occasion of the 55th Bank Nationalisation Day in India on Wednesday, the Guwahati-headquartered body said public sector banks (PSBs) have played an important role in promoting financial inclusion and mobilising savings since the nationalisation of the lenders in 1969. "Public Sector Banks are in real danger of privatisation. It is an ideological conflict that can be overcome by supporting the alternative ideology that prioritises the welfare of a larger human population," AIBOC general secretary Rupam Roy said. Since their nationalisation, these PSBs have been channeling funds to vital sectors such as agriculture, small and medium-sized enterprises (SMEs), education and infrastructure among others, he added. "They have been the pillars of

Govt to invite bids for privatising NMDC after commissioning blast furnace

The government is likely to invite financial bids for privatising NMDC Steel only after the commissioning of the blast furnace at the company's steel plant in Chhattisgarh, according to officials. Officials expect the value of the company to go up once the blast furnace of the steel plant becomes operational. NSL is expected to have a production capacity of 3 million tonnes per annum. The government holds a 60.79 per cent stake in NMDC Steel Ltd (NSL) after it got demerged from NMDC, which is India's largest iron ore producer. The facility is located in Nagarnar, Chhattisgarh. The remaining 39.21 per cent stake is with the public. NSL is up for privatisation with the government looking to sell 50.79 per cent of its shareholding, along with management control. The government had received multiple preliminary bids or expressions of interest for the company. Officials said the government will get to know the fair value of NSL once the blast furnace, which is the heart of a steel plan

With Adani, Agarwal under scrutiny, India's privatisation drive stalled

Of three dozen companies originally identified for sale, officials are now left with a list of just 17 - 10 unlisted and 7 listed - largely because of legal and insolvency issues.

'Auctioning' democracy: Sena (UBT) slams Modi govt's privatisation policy

The Shiv Sena (UBT) on Thursday slammed the privatisation policy of the Narendra Modi government and accused it "auctioning" democracy, freedom of speech, social harmony and the rule of law. If this wasn't enough, the government was also planning to privatise some public sector banks, claimed an editorial in 'Saamana', the mouthpiece of the Uddhav Thackeray-led party. Referring to reports in a section of media about a committee being set up to review privatisation of banks, the Marathi daily said even if the entire issue is still in process, it is "confirmed" that some banks will be privatised. 'It is being said that some government companies and public sector undertakings are suffering losses and have become white elephant for the government. There is some truth in these claims. But, the Modi government hasn't been transparent in its privatisation moves," the Marathi daily claimed. Whatever was earned in the last seven decades was being privatised under the garb of "navsanjivani'

Govt panel may draft list of small public sector banks for privatisation

The panel is likely to have officials from the Department of Investment and Public Asset Management, the Reserve Bank of India, and the NITI Aayog

Govt to invite bids for privatisation of Shipping Corp in May: Report

According to the report, the government now aims to invite financial bids for SCI, which owns and operates around one-third of India's total tonnage, by mid-May

Govt not in 'crazy rush' to sell everything: FM Sitharaman on privatisation

The government is not in a "crazy rush" to sell everything and it will continue to have a presence in four strategic sectors, including telecom, Finance Minister Nirmala Sitharaman said on Saturday. In strategic sectors, a bare minimum presence of the existing public sector commercial enterprises at the holding company level will be retained under government control. The remaining enterprises in a strategic sector will be considered for privatisation or merger with another PSE or for closure. Speaking at the Raisina Dialogue, the minister said that the country will have government-owned professionally run companies in four broad strategic sectors. According to the PSE Policy, the four broad strategic sectors are - atomic energy, space and defence; transport and telecommunication; Power, Petroleum, Coal and other minerals; and Banking, Insurance and Financial Services. The policy, she added, "is not a crazy rushing out to sell everything..nor it is saying that the government will ru