A “timeline” for privatisation of two state-owned banks and one general insurance companies cannot be specified, but the government policy on privatisation will continue, Finance Minister Nirmala Sitharaman said Saturday. Addressing the Confederation of Indian Industry’s (CII) National Council in a post-Budget interaction, she said the Budget has been very “simple and straightforward” with a clear path chosen for investing in creation of assets, which have a higher multiplier effect on economic activity and job creation.
“The policies which were announced in 2021 are continuing and I’m reiterating them in this Budget. I’m also ensuring that there is stability, there’s continuity and transparency. And privatisation was part of a policy announcement. In fact, it was very specifically an announcement that we want minimum government maximum governance and therefore government will get out of many of these areas and equally open up all the sectors, all the areas for private sector. However, the strategic sectors will be those in which at least a bare minimum presence of the government will be there,” Sitharaman said.
when I say bare minimum, there are others, some of whom have already been cleared by the Cabinet which will have to go for privatisation and the issue of insurance and banks are all part and parcel of that. I’m not going to be able to give a timeline now as we are moving forward with each of them. Near the time and when it is (ready), because all this is related also to the markets, we will announce closer to when we think it’s appropriate to announce, but my not speaking about it in this Budget as much as I spoke about it last year does not indicate that I changed my mind,” she added.
