Home Asia Centre plans to raise 90K Cr through Disinvestment for FY 19-20

Centre plans to raise 90K Cr through Disinvestment for FY 19-20

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Diksha Yadav
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Centre plans to raise 90K Cr through Disinvestment for FY 19-20
Centre plans to raise 90K Cr through Disinvestment for FY 19-20

Market analysts have predicted Centre’s Rs 90,000 crore disinvestment target for the financial year 2019 – 20 (FY20) to be ambitious yet achievable.

Centre plans to raise 90K Cr through Disinvestment for FY 19-20
Centre plans to raise 90K Cr through Disinvestment for FY 19-20

Market analysts on Monday have predicted Centre’s Rs 90,000 crore disinvestment target for the financial year 2019 – 20 (FY20) to be ambitious yet achievable.

Although the government is likely to keep the gains in PSU stocks capped but has already short-listed ten central public sector enterprises (CPSEs), this also includes RailTel, TCIL and Tehri Hydro Development Corporation (THDCL) for disinvestment in FY20. Thus far in FY19, Rs 36,000 crore has already been raised through stake sale in CPSEs, as well as tranches of Exchange Traded Funds (ETFs) and share buybacks and faces an uphill task of garnering another Rs 44,000 crore if the target of Rs 80,000 crore has to be met by March-end.

Centre plans to raise 90K Cr through Disinvestment for FY 19-20
Centre plans to raise 90K Cr through Disinvestment for FY 19-20

According to analyst G Chokkalingam of Equinomics Research, Initial public offers (IPOs) and ordering cash-rich and less leveraged PSUs to buy out the upset/ loss making ones are some of the ways to meet the disinvestment target in FY19 and FY20.Amid the development, analysts believe most PSU stocks will remain under pressure going ahead, and investors should remain selective while investing in this segment.

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Diksha Yadav
I am Diksha Yadav, Currently pursuing my Post Graduate Diploma in English Journalism from Indian Institute of Mass Communication. I have interned in The Hindu(Features Department) and W5 Communications(Public Relations). I have also worked as a PR professional in PRIntel Advisory where I was handling Homekraft, Amplus, MoMagic, and other corporate clients and was responsible for developing the first line of communication with media for press coverages. Besides, I had worked as a content writer in Buddymantra, Portology, Aviity, and UC News. My areas of work is to deliver first-hand reports, media coverages, reporting, editing, making newspapers, magazines, anchoring, script writing and creating content in different genres. I also have knowledge of Quark and InDesign (Basic). I am quick in developing solid media relations across regions and develops brilliant content for clients for media dissemination. Currently, I am working as a freelance writer in TheTimesBusiness.com.