Punjab govt to disinvest loss making corporations
In a recently held meeting of disinvestments board, headed by the Chief Minister Parkash Singh Badal, some corporations, which are under heavy losses, were identified and it has been principally decided to go for disinvestments for such corporations.
By PTI |
JALANDHAR: The Punjab government will disinvest corporations which have been incurring heavy losses for the last several years, state Finance Minister Manpreet Badal said.on Friday
"Recently in the meeting of disinvestments board, headed by the Chief Minister Parkash Singh Badal, some corporations, which are under heavy losses, were identified and it has been principally decided to go for disinvestments for such corporations," he told reporters here.
Asked why inspite of the fact that several corporations have gone under heavy financial debt, the state Cabinet has sanctioned constitution of media corporation, the minister said, suggestions by the finance department had been incorporated in the proposal of media corporation.
It would not be "corporation" but would be registered only as a society without having any financial burden on the state exchequer, he added.
"Moreover, there will not be any permanent recruitment in the proposed media society but a few employees will be taken only on the contract basis," said Manpreet.
On a query on his reported views regarding rationalisation of taxes in the state, the minister said since there were lot of loopholes in the taxation system there was a need to plug them to generate more revenues.
For the development of the state, budgetary provision should be increased by at least three times and the main source of revenue generation was VAT, said Manpreet.
About freebies like free power supply to agricultural sector, he said, "it is not only the Finance Ministry which is empowered to take every decision and ultimate decision is always taken by the Cabinet."
"Recently in the meeting of disinvestments board, headed by the Chief Minister Parkash Singh Badal, some corporations, which are under heavy losses, were identified and it has been principally decided to go for disinvestments for such corporations," he told reporters here.
Asked why inspite of the fact that several corporations have gone under heavy financial debt, the state Cabinet has sanctioned constitution of media corporation, the minister said, suggestions by the finance department had been incorporated in the proposal of media corporation.
It would not be "corporation" but would be registered only as a society without having any financial burden on the state exchequer, he added.
"Moreover, there will not be any permanent recruitment in the proposed media society but a few employees will be taken only on the contract basis," said Manpreet.
On a query on his reported views regarding rationalisation of taxes in the state, the minister said since there were lot of loopholes in the taxation system there was a need to plug them to generate more revenues.
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For the development of the state, budgetary provision should be increased by at least three times and the main source of revenue generation was VAT, said Manpreet.
About freebies like free power supply to agricultural sector, he said, "it is not only the Finance Ministry which is empowered to take every decision and ultimate decision is always taken by the Cabinet."
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