CPSEs to get 12 months to monetise non-core assets, failure may restrict budgetary allocations

news

Central Public Sector Enterprises (CPSEs) will get 12 months to monetise non-core assets identified by a ministerial panel headed by the finance minister, failing which the finance ministry may restrict budgetary allocations to the companies.

The Department of Investment and Public Asset Management (DIPAM) yesterday issued the guidelines for monetisation of non-core assets of CPSEs and immovable enemy properties, following a Cabinet decision in February.

According to the guidelines, an inter-ministerial group chaired by the secretary of DIPAM, will identify the non-core assets of the CPSEs on its own and also on the basis of recommendations of the Niti Aayog.

Once the Alternative Mechanism, comprising the finance minister, road transport minister and the minister of concerned administrative ministry, approves the assets for monetisation, it should be completed within 12 months from the date of approval.

The government has set a target of Rs 90,000 crore to be raised through CPSE disinvestment in current financial year, up from the Rs 85,000 crore mopped up in the previous financial year. (AIR NEWS)