The Modi government sells 100 government assets lying idle, the Prime Minister said – how much money does this come from?

Prime Minister Narendra Modi on Wednesday strongly backed the privatization of strategic PSUs, saying trading was not the government’s job. He said his government is committed to privatizing government units in other areas, excluding some public sector enterprises in strategic areas. Modi said running scarce enterprises through taxpayer money wastes resources. These resources can be used in public welfare projects. We are collecting Rs 2.5 lakh crore by selling futile government assets, ”PM Modi said.

In a webinar organized on public sector companies, PM Modi said that underutilized or unused assets of public sector firms would be monetized. These include oil and gas and power sector assets. His monetization is Rs 2.5 lakh crore. The Prime Minister said, “It is the duty of the government to support enterprises and companies. But it is not necessary that the government should own and operate these companies.

PM Modi said the private sector brings investment, global best practices, best managers, management changes and modernization. He said the proceeds from the sale of the stake in PSUs will be used for public welfare projects such as water and sanitation, education and health. The Prime Minister said the government has four strategic sectors … nuclear power, space and defense, transport and telecommunications; Electricity, petroleum, coal and other minerals; Is committed to privatizing PSUs in all sectors except banking, insurance and financial services. He said the government’s presence in them would be kept to a minimum. It is not the job of the government to do business, but the government should focus on public welfare He said modernization and monetization is our goal.

The Prime Minister said a group of empowered secretaries would work to resolve investor problems, to speed up the investment process. He added that the government needs to focus on development and there is a loss whenever PSUs do business. Many public sector organizations are at a loss, many are being helped by taxpayer money, he said. This money can be used in welfare projects.

1.75 lakh crore from the sale of shares in public sector companies in the next financial year. These companies include BPCL, Air India, Shipping Corporation of India, Pawan Hans, IDI Bank and Container Corporation of India. In addition, the initial public offering (IPO) of the Life Insurance Corporation (LIC) will also come. Also, two state-owned banks and one general insurance company are sold.

The prime minister said the purpose of the current reforms was to ensure the efficient use of public funds. PSUs are an invaluable asset of the country and they have tremendous potential in the future, he said. He said that fair price discovery would be adopted as best global practice for privatization campaigns. PM Modi said, “Implementation is important. Our procedures must be in place to ensure transparency and competitiveness. There must be a clear framework to ensure price discovery and stakeholder mapping.” Said.

PM Modi said that in the Budget 2021-22, a clear roadmap has been set for India to move towards higher growth. Financial aid to sick PSUs is a burden on the economy, not to be run by government companies. Modi said his government was working on a pipeline of new national infrastructure projects worth Rs 111 lakh crore. The government has so many assets that are either not fully utilized or worthless, by collecting 100 such assets in the market for Rs 100 lakh. The Prime Minister, who presented India as an investment destination, said India is now a market, a country with a tax system, the tax system has been simplified, compliance complications have been improved.

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