Thursday, November 5, 2009

Government of India to list profit making Central Public Sector Enterprises

The Government of India (GOI) has announced its decision, that...
  1. all profitable listed CPSEs should meet the mandatory listing of 10% public ownership; and
  2. all unlisted CPSEs having positive networth, no accumulated losses and having a net profit in the three preceding consecutive years should get listed on the stock exchanges.
The disinvestment proceeds would be channelized into the National Investment Fund (NIF).

The corpus comprising deposits from April 2009 till March 2012 would be available in full for investment as capital expenditure in specific social sector schemes determined by Planning Commission and Department of Expenditure.

The status quo ante of NIF will be restored from April 2012.