Modi government's divestment scorecard: Over Rs 4 lakh crore raised since 2014

Since coming into power in 2014, the Narendra Modi-led government has raised over Rs 4.04 lakh crore through disinvestment and strategic sale of public sector enterprises, the Finance Ministry said on Tuesday.

Strategic sales in 10 companies, including Air India, yielded Rs 69,412 crore to the exchequer in the last 8 years. Share buyback in 45 cases fetched Rs 45,104 crore.

In the ongoing fiscal alone, a total of Rs 28,382.67 crore has been raised via stake sales in CPSEs, data on the DIPAM website shows. Of this, the highest amount raised was via a 3.5% stake sale in LIC at Rs 20,516.12 crore.


Of the Rs 4 lakh crore, the largest amount totalling over Rs 1.07 lakh crore through offer for sale in 59 cases. This was followed by a stake sale through Exchange Traded Fund (ETF) in 10 tranches, aggregating to Rs 98,949 crore.

17 CPSEs were listed since 2014-15, which yielded Rs 50,386 crore. Of this, the initial public offering (IPO) of LIC alone fetched the government Rs 20,516 crore.

The additional market capitalisation of Rs 7.31 lakh crore was achieved through new listings, the ministry said.

Besides, the government has sold its residual stake in Paradeep Phosphate Ltd, IPCL, and Tata Communication for Rs 472 crore, Rs 219 crore and Rs 8,847 crore, respectively.

In nearly nine months of the current financial year, the Indian government has not been able to meet even half of its 650 billion rupees budgeted divestment target due to delays in privatising some state-owned firms including Shipping Corporation of India and BEML.

Last month, the government received 38.39 billion rupees from the sale of Axis Bank Ltd (AXBK.NS) shares held by a government-investment vehicle.


(With agency inputs)