Divestment not to shut CPSEs, but for efficiency: FM


NEW DELHI: FM Nirmala Sitharaman on Friday said the principle of the government’s disinvestment programme is not to shut any unit or company but to make them more efficient and professionally driven. Highlighting that public sector enterprises, which were privatised between 1994 and 2004, are being driven by professionally run boards, the minister said these companies have only improved.
Addressing the department of investment and public asset management (Dipam) as part of ‘Azadi ka Amrit Mahotsav’ here, Sitharaman said privatisation of CPSEs is intended at ensuring that these companies are run efficiently and cost effectively.
“The economy needs that many number of such companies and many, many more as well. So, if we want to have that activity done professionally and open up spaces for people to come and do it, our interest is not to shut down, we want to prime it up, we want to have them to run far more efficiently so that contributions can be made to the economy,” Sitharaman said.
She said the principle of disinvestment is to make sure that companies which are being privatised are in the hands of people who can run it, bring in more capital and give same production.


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