The Cabinet on Wednesday empowered a ministerial group led by Finance Minister Arun Jaitley to decide on details of strategic disinvestment of public sector firms, starting from the terms of sale till inviting financial bids from prospective buyers.
“The Cabinet Committee on Economic Affairs (CCEA) has approved the proposal of the Department of Investment and Public Asset Management (DIPAM) for setting up an Alternative Mechanism (AM) consisting of the Finance Minister, Minister for Road Transport & Highways and Minister of Administrative Department, to decide on the matters relating to terms and conditions of the sale from the stage of inviting of Express of Interests (Eols) till inviting of financial bid,” the government said in a release..
The Cabinet also approved empowering of the Core Group of Secretaries (CGD) to take policy decisions regarding procedural issues and to decide on deviations as and when necessary for the effective implementation of the decisions taken by the CCEA.
“The approval will help in speedy completion of strategic disinvestment transactions,” the release said.
The government has committed to raise ₹72,500 crore of disinvestment proceeds this financial year, including ₹46,500 crore from minority stake sales, ₹15,000 crore from strategic disinvestments, and ₹11,000 crore from the listing of insurance companies.
