Air India sale to boost privatisation: Economic Survey

Highlights The non-strategic CPSEs will be privatised or otherwise shall be closed The govt had last year approved a policy of strategic disinvestment of public sector enterprises The strategic sectors as per the policy are atomic energy, space, defence, transport, power etc Air India sale will give a boost to India's privatisation drive, the Economic Survey said on Monday, as it suggested redefining the public sector role in business enterprises to encourage private participation in all sectors. The government had last year approved a policy of strategic disinvestment of public sector enterprises that will provide a clear roadmap for disinvestment in all non-strategic and strategic sectors. "Thus, the policy on public sector enterprises provides a clear path for disinvestment in all non-strategic and strategic sectors and strengthens the idea of Minimum Government – Maximum Governance," the Survey noted. Stating that there has been an emphasis on disinvestment in the last 5 years, the Survey said that after 2014, the disinvestment policy was renewed with stake sales in PSEs, such as Hindustan Petroleum Corporation Ltd, Rural Electrification Corporation Ltd, Dredging Corporation of India Ltd, Hospital Services Consultancy Corporation Ltd, National Projects Construction Corporation Ltd, THDC India Ltd and North Eastern Electric Power Corporation Ltd.