The disinvestment target for the year 2023-24 may be set at around Rs 65,000 crore, a report in Financial Express (FE) said. This will be on a “realistic level” keeping in mind the receipts of the current year that may range between Rs 45,000 and Rs 50,000 crore.
Currently, Centre’s receipts from disinvestment stand at Rs 24,544 crore. It is just 38 per cent of the annual target presented in the Budget 2022. A major chunk of this, close to Rs 20,500 crore, was achieved only via selling a 3.5 per cent stake in the Life Insurance Corporation of India (LIC).
The Centre is in the process of selling some of its stake in Vedanta-controlled Hindustan Zinc in FY23. The rest of the stake in the company will be sold in FY24. It currently holds a 29.54 per cent stake in the company worth Rs 36,000 crore, FE added.
The sale of 26 per cent of the stake in BEML, formerly Bharat Earth Movers, may also be proposed by the Centre soon. If successful, it will fetch the centre around Rs 1,600 crore. Currently, it holds a 54.03 per cent stake in the company.
In early October, the government invited bids for IDBI Bank. It is selling its 30 per cent stake in the bank, along with 30 per cent held by the LIC, making up the total stake sale to 60 per cent.
The government will also soon invite bids for the Container Corporation of India (ConCor). It plans to sell 30 per cent of its stake for Rs 15,000 crore.