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Modi says sale of 100 PSUs to yield Rs 2.5 lakh crore for development projects

Sale of PSUs to yield Rs 2.5 lakh crore for development projects, says Modi (IANS)

The government has an ambitious plan to monetise around 100 public sector companies as part of the monetisation plan to raise Rs 2.5 lakh crore for development projects, Prime Minister Narendra Modi said on Wednesday.  

Speaking at a webinar on privatisation by the Department of Investment and Public Asset Management (DIPAM), Modi said the government is committed to privatising PSUs in all sectors barring four strategic ones in which the number will be kept at a bare minimum.

"With this the government will be aiming to achieve an investment of Rs 2.5 lakh crore.  We are going ahead with the mantra of monetise and modernise," Modi said while explaining various reforms undertaken in the Union Budget 2021-22.

PM Modi said the amount collected from monetisation and divestment will be used for funding development projects. Asset monetisation and privatisation decisions will help empower Indian citizens, he added.
Outlining the government focus going forward, Modi said that the government is working on Rs 111 lakh national infrastructure pipeline (NIP) fund.

"The government has no business to be in business. When government monetises, that space is filled by private sector of the country. Private sector brings investment and best global practices with them," he said.

Modi said that the public sector enterprises are loss-making and several of them need the support of public money and that they should not be run because they were started many years ago and were someone's pet project.

"The Budget has given a clear roadmap to take India to a high growth trajectory," the PM added.

The Prime Minister also sought a feedback on the privatisation and monetisation initiative for swift implementation of the process.