The government is constantly under pressure to pep up economic growth of the country and in one such move Cabinet Committee on Economic Affairs has approved disinvestment of BPCL, Shipping Corp, THDC India and NEEPCO and most of its stake in Container Corp.

The government decides to give up management control in these companies. The CCEA has also given an in-principle approval for the government to reduce stake in certain state-owned companies to below 51 per cent in some while retaining majority stake management control.

The government at the moment is racing against time to meet its divestment target of Rs 1.05 lakh crore for 2019-20 but the Centre hopes that disinvestment proceeds will make up for some of the revenue shortfall that is expected this year.

Finance Minister Nirmala Sitharaman said that privatisation of BPCL will be without the company’s equity shareholding of 61.65 per cent in Numaligarh Refinery in Assam. “The Numaligarh Refinery will be carved out of BCPL and will be taken over by another state-owned company,” said Sitharaman. The remaining 38.35 per cent stake is held by the Assam government (12.35 per cent) and Oil India (26 per cent).

The government will offload its entire 53.29 per cent stake in BPCL, 63.75 per cent stake in Shipping Corp, and 30.8 per cent stake in Container Corp.The centre owns 54.8 per cent stake in Concor.