Privatisation panel likely to meet on
July 4
The Cabinet panel on privatisation is likely to meet on July 4 to thrash out key issues linked to sale of state units, a minister said on Tuesday.
"The prime minister's office has informed me that the meeting of the Cabinet Committee on Divestment has been tentatively scheduled for July 4," Divestment Minister Arun Shourie said.
But Shourie gave no details.
The panel headed by Prime Minister Atal Bihari Vajpayee decides on issues related to privatisation of state-run firms.
It is meeting after a long gap as a crippling strike against privatisation at a newly privatised aluminium firm and a bribes scandal threw a spanner into the government's ambitious plans to sell stakes in other state-run firms.
Nearly 7,000 workers of Bharat Aluminium Company staged a two-month strike from March to protest against the government's move to sell a controlling stake to private metals firm Sterlite Industries, India's first big-ticket privatisation in a decade of economic reforms.
Shortly after the government's reforms agenda was hit by a scandal over graft in the defence ministry, which broke when an Internet news portal went public with hours of secretly taped video footage.
The scandal led to the resignation of the defence minister and forced Vajpayee's government to soft-peddle on bold reforms including privatisation.
But the divestment ministry has been progressing with its plans to sell stakes in 27 state-run firms which have been lined up for privatisation in the current financial year. The government has also announced plans to close down loss-making units.
Big companies on the block include flag carrier Air-India, domestic carrier Indian Airlines, overseas telecom monopoly Videsh Sanchar Nigam Ltd, computer firm CMC Ltd, Hindustan Copper Ltd, Hindustan Zinc, National Fertiliser Ltd and the Indian Tourism Development Corporation.
The government plans to raise Rs 120 billion through the sale of stakes in state-run firms in the current 2001-02 fiscal.
|
Back to top
|
(c) Copyright 2000 Reuters Limited. All rights reserved. Republication or redistribution of Reuters content, including by framing or similar means, is expressly prohibited without the prior written consent of Reuters. Reuters shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.
|
Tell us what you think of this report
|
