New Delhi:
The Indian government expects to list state-owned Life Insurance Corp (LIC) by the end of the current fiscal year, and collect 500 billion rupees ($6.72 billion) as dividends from state-run companies, a senior finance ministry official said on Wednesday.
The government also expects to complete selling state-owned refiner Bharat Petroleum Corp Ltd and national carrier Air India in the current fiscal year that runs through March 2022, said Tuhin Kanta Pandey, secretary, department of investment and public asset management.
LIC is the biggest insurer in the country and is wholly owned by the government.
Addressing the annual session of Confederation of Indian Industry (CII), he said Shipping Corporation of India, Pawan Hans and Neelachal Ispat Nigam Ltd have also got sufficient interest from bidders.
"We are now at the second stage of due diligence and financial bidding, which we will be able to complete in this financial year," said Pandey. He said IDBI Bank's strategic disinvestment has also been set into motion with the Cabinet approval. The expression of interest is expected for CONCOR as soon as the land lease policy is finalised.
"The government is working on a Rs 6 lakh crore asset monetisation plan that will include pipelines of Power Grid Corporation of India and national highways," said Pandey. "The national monetisation plan will have a range of assets from Power Grid pipeline to national highways." Tenders for public private partnerships in railway stations have also been announced, and the model has been successful in managing airports.
"There is a big asset monetisation pipeline where private sector participation is anticipated," said Pandey.