Record Dividends from PSUs

NEW DELHI: The Indian government has collected a historic Rs 74,000 crore in dividends from central public sector undertakings (PSUs) in the last financial year. This achievement has prompted the government to encourage private companies to also provide fair dividends to their shareholders, aiming to make the stock market more inclusive and rewarding for all investors.

Adjusting Disinvestment Strategies

Dipam secretary Arunish Chawla highlighted that the government would adjust its disinvestment strategy based on current market conditions. Despite the record dividends, Chawla assured that capital expenditure would not be compromised, with investment targets set to be met in the current financial year.

Encouraging Mutual Funds

Chawla also urged mutual funds to increase their exposure to central PSUs to enhance returns for investors, especially retail investors. He mentioned plans to meet with fund houses to discuss strategies and track records, emphasizing the government's balanced approach to market dynamics and dividend strategies.

Progress on Privatization

While progress on strategic sales, including Shipping Corporation and BEML, remains uncertain, the government is advancing with the privatization of IDBI Bank. A virtual data room has been established, and the query resolution process is underway, with asset valuers appointed for the divestment.