| Shares of Railway PSEs - IRCTC, IRFC and IRCON to be listed |
Consolidation, mergers and acquisitions of CPSEs to be encouraged, an integrated public sector ‘oil major’ soon
Pradhan Mantri Mudra Yojana budget target doubled to Rs. 2.44 lakh crores
Rs. 10,000 crores earmarked for recapitalisation of Banks, Need based additional allocation assured
| ||New Delhi: February 1,2017 |
While presenting the
General Budget 2017-18 in Lok Sabha here today, the Union Finance
Minister Shri Arun Jaitley has said that the shares of Railway Public
Sector Enterprises (PSEs) like IRCTC, IRFC and IRCON will be listed in
stock exchanges. The Government will encourage strengthening the CPSEs
through consolidation, mergers and acquisitions and soon create an
integrated public sector ‘oil major’, he added.
Stating that the Pradhan Mantri Mudra Yojana (PMMY) has proved an
overwhelming success in extending funds for the deprived sections, Shri
Jaitley doubled the budget target under the scheme to Rs. 2.44 lakh
Easing the stressed legacy accounts of banks, Shri Jaitley earmarked Rs.
10,000 crores for recapitalisation of Banks in 2017-18 and assured need
based additional allocation.
Stating that the disinvestment policy announced in the last budget will
continue, Shri Jaitley further said that the Government will put in
place a revised mechanism and procedure to ensure time bound listing of
identified CPSEs on stock exchanges. This will foster greater public
accountability and unlock the true value of these companies, he added.
Shri Jaitley said the CPSEs will be integrated across the value chain of
an industry through consolidation, mergers and acquisitions. By these
methods it will give them capacity to bear higher risks, avail economies
of scale, take higher investment decisions and create more value for the
stakeholders, he added. Possibilities of such restructuring are visible
in the oil and gas sector. The Government proposes to create an
integrated public sector ‘oil major’ which will be able to match the
performance of international and domestic private sector oil and gas
The Finance Minister said that the Exchange Trade Fund (ETF), comprising
shares of ten CPSEs, has received overwhelming response in the recent
Further Fund Offering (FFO). The Government will continue to use ETF as
a vehicle for further disinvestment of shares. Accordingly, a new ETF
with diversified CPSE stocks and other Government holdings will be
launched in 2017-18, he added.
Shri Jaitley said that the focus on resolution of stressed legacy
accounts of Banks will continue and the legal framework has been
strengthened to facilitate resolution, through the enactment of the
Insolvency and Bankruptcy Code and the amendments to the SARFAESI and
Debt Recovery Tribunal Acts. In line with the ‘Indradhanush’ roadmap, an
amount of Rs. 10,000 crore is provided for recapitalisation of Banks in
2017-18 and additional allocation will be provided, as may be required,
Shri Jaitley said that the Pradhan Mantri Mudra Yojana has contributed
significantly to funding the unfunded and the underfunded. He further
said that the last year target of Rs.1.22 lakh crores was exceeded and
for 2017-18, he proposes to double the lending target of 2015-16 and set
it at Rs. 2.44 lakh crores. Priority will be given to Dalits, Tribals,
Backward Classes, Minorities and Women, he added.
Shri Jaitley said that the Stand Up India scheme was launched by the
Government in April 2016 to support Dalit, Tribal and Women
entrepreneurs to set up green field enterprises and become job creators.
Over 16,000 new enterprises have come up through this scheme in
activities, as diverse as food processing, garments, diagnostic centres,
etc, he added.
|PIB Release/DL/164|| |
|MD --SB || |