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Report on Disinvestment of Public Sector Enterprises in India

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The COVID-19 pandemic in India is wreaking considerable strain on tax revenues.

This is leading to calls for more disinvestments. In fact, the Government’s disinvestment target for FY2021 is its highest ever since 1991.

But meeting this target is easier said than done.

Disinvestments began as a policy objective in India following the economic liberalisation reforms of 1991. Since then, every Government has set annual disinvestment targets and tried to beat them.

But disinvestments are a controversial exercise, even today. And they are fraught with challenges and obstacles.

Head to this link for a brief history of disinvestments to bring much needed context to the disappointing state of progression in this matter. As well as for an understanding of why disinvestments are challenging - and why they are important: https://transfin.in/report-on-disinvestment-of-public-sector-enterprises-in-india

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