INDIAN CABINET APPROVES DISINVESTMENT

Vol 3, PW 5 (31 Mar 99) News in Brief
     

Indias cabinet has reaffirmed its commitment to privatising non-strategic state-owned companies.

A meeting of the Indian cabinet last week agreed that all publicly owned companies except those in the defence, railways and atomic energy sector were legitimate targets for partial privatisation of up to 74% of government equity, leaving the government with just 26% equity. It was likewise agreed that the government stake in certain PSUs could go less than 26%.

A similar proposal was made by Indias Disinvestment Commission two years ago.