New Delhi: The government is likely to consider the proposal of disinvestment in as many as five public sector undertakings, including Hindustan Copper, Oil India and Nalco, at the meeting of cabinet committee on economic affairs (CCEA) on Friday.
The Department of Disinvestment (DoD), according to sources, has proposed 10 percent stake sale proposal of Oil India and another 9.59 percent disinvestment of Hindustan Copper.
Further, a 5 percent stake sale of Neyveli Lignite and 12.15 percent of Nalco through Offer for Sale (OFS) route is likely to be taken up by the CCEA.
Also the proposal of disinvesting 9.33 percent in MMTC is expected to be taken by the CCEA, they added.
The Department of Disinvestment (DoD) has already invited expression of interest from merchant bankers for managing the issues.
Finance Minister P Chidambaram has already asked officials to expedite the process of disinvestment so that state-owned companies could hit stock markets in time and help the government achieve the target of Rs 30,000 crore in the current fiscal.
Although five months have passed in the current fiscal, the government has not been able to come out with a single public issue.
Raising adequate funds from disinvestment was necessary to keep in check the fiscal deficit which is facing pressure due to rising food, fuel and fertiliser subsidy bill.
The government earlier deferred the initial public offer (IPO) of Rashtriya Ispat Nigam Ltd (RINL) due to weak stock market conditions. The Rs 2,500-crore RINL issue was originally proposed to hit the markets in July.
Due to uncertain market conditions, the government in the last fiscal raised only Rs 14,000 crore from disinvestment against the target of Rs 40,000 crore.


Latest News from Business News Desk