The sales process for BPCL and Air India is unlikely to be completed by March

The government is trying to sell 53.3% of BPCL's Rs.56480 crore

Mumbai, Ta. January 2, 2020, Thursday

Since the process of selling India Petroleum Corporation (BPCL), Container Corporation of India (Concorp) and Air India by the end of March is very unlikely to be completed by the end of March, the government cannot achieve the target of deinvestment target of Rs 1.05 trillion by the current financial year 2019-20. Is.

On condition of anonymity, a government official said the government would have to focus on the demand of private companies seeking to buy government companies.

The news comes at a time when the fiscal deficit has reached 115 percent of the target in November alone. If no measures are taken by the government to increase revenue, the fiscal deficit will still increase.

The government wants to sell 53.3% of BPCL. It is valued at Rs 56,480 crore as per BPCL's stock price. The government also wants to sell 31% of Concorp. It is valued at Rs 10,724 crore according to Concor's share price.

If the fixed share of these two companies were sold, the government would get Rs 67,204 crore. This amount does not include the sale of unlisted Air India. It is worth mentioning that Air India incurred a loss of Rs. 8556 crore in FY 2018-19.

So far, only Rs 17,364 crore has been received against the target of 1.05 trillion for the financial year 2019-20. It is worth mentioning that in November last year, the government approved the sale of shares of BPCL, Shipping Corporation of India (SCI0 and Concorp).