Budget 2024: 'Need to look at disinvestments in a holistic way,' says DIPAM Secretary Tuhin Kanta Pandey

DIPAM Secretary Tuhin Kanta Pandey stressed the need to look at disinvestments in a holistic way, including dividends, while also highlighting that the combined market capitalisation of all central public sector enterprises (CPSEs) today is ₹58 lakh crore.

Pandey highlighted that 61-listed CPSEs, 16 public sector enterprises (PSBs) and public sector insurance (PSI) firms have risen by over ₹42 lakh crore in three years, rising from ₹15 lakh crore at the start of 2021.

“This is actually the value unlocking, which has come. In one single year, the value unlocking is of ₹25 lakh crore and I think it's very important that we also reward our minority shareholders, and look at their needs, capital gains and dividends. At the same time, we keep on looking at our companies and how they perform. It was a very important segment of the economy. I think, if they do well, we have to calibrate the strategy; that's what we call a new paradigm—to look at one single number and just to do it in a particular year, come what may, that's not the way we should look at disinvestment or we should look at it holistically to include dividends,” Pandey told a CNBC-TV18 panel on Thursday to discuss Finance Minister Nirmala Sitharaman’s interim budget. The panel also included Finance Secretary TV Somanathan, DEA Secretary Ajay Seth and DFS Secretary Vivek Joshi.