Rangarajan calls for divestment roadmap

Rangarajan calls for divestment roadmap New Delhi: The Prime Minister's Economic Advisory Council (PMEAC) Chairman C Rangarajan on Wednesday said the government should draw up a roadmap for divesting its stake in state-run companies.

"I would only say that the government should identify the companies where disinvestment is possible and have a phased programme of two to three years," Rangarajan told a news agency today.

He further said that it is not good to divest stakes in all the probable CPSUs in a single year as the market may not be able to absorb it.

Rangarajan further said that though divestment depends on the stock markets and valuation of the companies, a programme can be drawn in a manner in which a proportion can be decided for each company and the shares can be sold thereafter.

Earlier last month, the disinvestment department had said there were 60 Central PSUs, including SAIL, BSNL and Coal India, eligible for selloff as per a decision by the Cabinet.

"We are in interaction on a large number of these 60 companies with their administrative ministries... We are in interactions with the steel ministry for SAIL, with the coal ministry for Coal India. On BSNL also, we are talking to the IT and communications ministry," Disinvestment Secretary Sunil Mitra had said.

However, he refused to set a time-frame for the process.