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PM defends divestment of profit-making PSUs

Prime Minister Atal Bihari Vajpayee on Saturday defended divestment of profit-making PSUs saying if the government insists on privatising only sick companies, there would be no takers.

Replying to the discussion in the Lok Sabha on the Motion of Thanks to the President's address, Vajpayee said: "it is natural to divest profit-making units also. If we divest only sick PSUs, who will buy them".

Dismissing Opposition criticism of divestment, Vajpayee said privatisattion of PSUs was necessary for raising resources required by the government to meet huge investments to carry out modernisation in various sectors.

Seeking consensus on economic reforms, he said the process was not initiated by the National Democratic Alliance Government.

"We did not begin economic reforms, we inherited it", he said.

He said the government was ready to face criticism while undertaking tough and unpopular measures for putting the nation on the path to progress.

"What appears unpopular today will become popular tomorrow."

On demand for revival of Indian Iron and Steel Company, he said it was necessary to evolve a consensus on the issue.

Referring to various queries raised by the LS members on the economic situation in the country, the prime minister said they would get an opportunity to seek detailed clarification from the government during the discussion on the Union Budget for 2002-03.

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