Indian Govt. Raises $1.98B from Company Stake Sales in 2023/24

The Indian government has garnered 165 billion rupees ($1.98 billion) in the fiscal year 2023/24 through the divestment of stakes in approximately 10 state-owned enterprises, as per official data. This figure falls about 9% short of the internal target set at 180 billion rupees.

Prime Minister Narendra Modi’s agenda of privatizing state-run entities has taken a backseat due to the upcoming general elections slated to commence on April 19.

PM Modi’s administration has achieved its privatization and minority stake sale objectives only twice over the past decade, demonstrating a superior track record compared to preceding governments.

Interestingly, for the current fiscal year starting April 1, the government has opted not to set a specific target, deviating from customary practice.

Nevertheless, the deficit in stake sale revenues has been partially offset by increased dividends received from state-owned companies. In the fiscal year 2023/24, government data reveals dividend receipts totaling about 630 billion rupees, surpassing the targeted 500 billion rupees.