Question : DISINVESTMENT OF PSUs

(a) whether the disinvestment delay has proved bad for market and Government`s image;

(b) if so, whether the Indian industry are not happy about the recent flip-flop on disinvestment and have raised objections in this regard;

(c) whether according to them, the disinvestment fiasco would adversely affect the market sentiments and the overall economic sentiments and performance of these industries;

(d) if so, whether both the Prime Minister and the Deputy Prime Ministerhave been urged to take immediate final decision for continuance of disinvestment policy; and

(e) if so, the time by which the Government is likely to take final decision on these issues ?

THE MINISTER OF DISINVESTMENT, MINISTER OF DEVELOPMENT OF NORTH EASTERN REGION AND MINISTER OF COMMERCE AND INDUSTRY (SHRI ARUN SHOURIE);

(a) Disinvestment being an important component of economic reforms, any perceived setback in it does have an immediate adverse impact on market sentiments and typically market capitalization of PSUs have taken a down turn in such situations.

(b) and (c) Apprehensions have indeed been expressed by experts of the negative sentiments of any delay that might take place in the reform process in general and disinvestment in particular.

(d) and (e) There has been no discontinuance of disinvestment policy. The disinvestment programme is being implemented and Government is prompt in addressing all issues that need resolution for the success of this programme.