INDUSTRY

PM Modi asserts government’s resolve for privatisation, over Rs 2,50,000 crore of State-run assets up for grabs

Prime Minister Narendra Modi on Wednesday strongly pitched for a transparent, monitored and continuous process to privatise assorted government assets – companies, their physical assets and other State-owned infrastructure. This is seen as the most unequivocal assertion of a much-awaited policy shift by any head of government since independence.

“The government is moving ahead with a resolution to monetise and modernise. When the government monetises, the space is filled by the private sector. Private sector brings with itself global best practices, (which leads to) modernisation and aids the relevant sector to expand at a faster pace and create more jobs,” Mr Modi said. 

Reaffirming the government’s commitment to exit from most businesses, Mr Modi urged investors to lap up the opportunities being offered by monetisation of assets worth Rs 2,50,000 crore over the medium term and its drive to privatise most of the State-owned companies in the coming years under a new policy.

In a webinar on privatisation and asset monetisation attended by leading policymakers in the government, including Finance Minister Nirmala Sitharaman and industry heavyweights, Mr Modi further added: “To make every enterprise efficient (through management change enabled by privatisation), there is now a strong political will. The process will be marked by transparency, accountability, rule of law and Parliamentary oversight.”

The prime minister also stressed that it was the responsibility of the government to give full support to enterprises and businesses. “But there is no need for the government itself to run businesses and remain the owner (of companies).The government has no business to remain in business,” he said.


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