.
• A majority stake sale done to another CPSE results in no real change in ownership, and is thus of no effective use.
• In fact, revenue from disinvestment (as a percentage of GDP) has been almost stagnant in the past few years.
• In the last financial year, too, even as the budgeted target of Rs 1.05 lakh crore was revised downwards to Rs 65,000 crore at the revised estimates stage, actual collections stood even lower at Rs 50,304 crore as per data from the Controller General of Accounts.
• Part of the problem is the manner in which successive governments have approached the issue of disinvestment/privatisation.
• Disinvestment is often viewed as a means of plugging the gaps in the revenue, often to be carried out towards the end of the year, when the budgeted revenue shortfall becomes glaring.
• For instance, despite announcing it in the budget, not much progress has been made on the LIC IPO.
• The government must lay out a roadmap for disinvestment/privatisation of PSUs, listing out in detail the entities where it intends to cut its stake, and the timelines it intends to follow.
• The burden on the exchequer for continuing to finance loss-making public sector entities in sectors where competition exists and no public purpose is served is unreasonably excessive.
• And coming at a time when the government is facing a huge hole in its revenues, garnering extra resources though this route could provide it with some fiscal space.
• Proceeds from such stake sales could be guaranteed, only to be used to finance fresh public investment.
Q.1) With respect to “AYUSH DAY CARE THERAPY CENTRES”, consider the following statements:
1. The aim of the scheme is to improve the health and wellbeing and reduce health care expenditure.
2. All Central Government Health Scheme (CGHS) beneficiaries, serving as well as pensioners will be able to avail the benefit of these centres.
Which of the statements given above is/are correct?
(a) 1 only
(b) 2 only
(c) Both 1 and 2
(d) Neither 1 nor 2
Q.1) What do you mean by the divestment? Highlights the major classification of the different divestment policy?