Center looks to build divestment capacity in PSUs

The center is looking to build institutional capacity for privatization among various government departments and public sector undertakings (PSUs) to give a fillip to the New Public Enterprises (PSE) policy 2021. The Department of Investment and Public Asset Management (DIPAM) is prodding Ministries to develop in house capabilities for conducting analysis and decision making for divestment related measures. The  DIPAM may reach out to various government departments and Ministries to proactively consider privatisation proposal of their public sector undertakings in line with the government's PSE policy that aims to minimise governments presence in strategic sectors and exit non-strategic ones. The DIPAM has also prepared a dossier to help departments and public sector undertakings understand and the processes involved in the strategic divestment of state owned firms

 and their units. It includes the processes and guidelines that will have to be followed at every step. To build institutional capacity, government departments and public sector undertakings will have to appoint a transaction advisors to assist them in strategic divestments.