Disinvestment plan aims to up Efficiency and Investments

Current Context: Government’s disinvestment strategy is aimed at boosting the production and efficiency of state-run companies and attracting investments into the companies instead of shutting them down.

• Privatization of CPSEs is intended at ensuring that these companies are run efficiently and cost-effectively.
• The main aim of being privatized is to give it in the hands of people who can run it, bring in more capital, and give the same production.
• In the current fiscal year, the government has received over Rs 24,000 crore from CPSE disinvestment compared to 13,000 crores earlier. The target for the full fiscal year has been set at Rs 65,000 crore.
• Apart from that CPSE Bharat Bond ETF constitutes about 84% of all Exchange Traded Funds in the market. The Asset under Bharat Bond ETF stands at over Rs 53,000 crore.
• The government has also lined up over half a dozen companies for strategic sale. These include Shipping Corp, CONCOR, Vizag Steel, IDBI Bank, Nagarnar Steel Plant of NMDC, and HLL Lifecare.

Question:

Q.1 What will be the target of disinvestment set by the government for FY22?
a. 70,000 crore
b. 65,000 crore
c. 72,000 crore
d. 58,000 crore