Finance minister Nirmala Sitharaman (File picture: ANI)
NEW DELHI: The federal government is engaged on finishing the stake sale course of of about 23 public sector corporations whose divestment has already been cleared by the Cupboard, finance minister Nirmala Sitharaman stated on Monday.
The minister additionally stated she would quickly meet small finance corporations and non-banking finance corporations (NBFCs) to assessment the credit score being prolonged by them to companies.
Sitharaman, in a dialog with Hero Enterprise chairman Sunil Kant Munjal, stated the federal government as a part of the Aatmanirbhar Bharat bundle had introduced opening up of all sectors for non-public participation.
“The ultimate name as to that are the sectors that are going to be known as ‘strategic’ shouldn’t be made but, that must be introduced and I am unable to preempt what announcement is prone to come.
“However in these sectors which we’re going to name strategic, the non-public will clearly be allowed to return in however the public sectors will probably be restricted to a most of 4 items,” she stated.
She stated this is able to result in consolidation of public sector undertakings (PSUs) in addition to scaling up of their operations.
Speaking about disinvestment plans, the minister stated the federal government needs to promote stake in public sector corporations at a time when it fetches the precise value.
“There are already almost 22-23 such PSUs which have been cleared by the Cupboard for disinvestment. The intent is obvious that not less than for these which had already been cleared by the Cupboard, we must disinvest,” Sitharaman stated.
For the 2020-21 fiscal, the federal government has set a disinvestment goal of Rs 2.10 lakh crore. Of this, Rs 1.20 lakh crore will come from disinvestment of public sector undertakings and one other Rs 90,000 crore from stake sale in monetary establishments.
With regard to extending credit score to the business, Sitharaman stated beneath the Emergency Credit score Line Assure Scheme (ECLGS), micro, small and medium enterprises (MSMEs) can avail loans.
As of July 23, 2020, the entire quantity sanctioned beneath the 100 per cent Emergency Credit score Line Assure Scheme by public and non-public sector banks stands at Rs 1,30,491.79 crore, of which Rs 82,065.01 crore has already been disbursed.
“Now I’m pushing the banks saying that it isn’t their danger, we’ve got taken the chance on ourselves, they need to now facilitate the method…
“We’ve got very clearly informed banks that they aren’t going to sit down on judgement of anyone’s viability. Now it’s the query of giving them assets, hand holding them in order that they survive,” Sitharaman added.