Union Cabinet Approves Sale of 51% Stake in Bharat Petroleum

As another step towards privatisation, the Union Cabinet has approved the sale of more than five major public sector entities. One of these public sector units (PSUs) is Bharat Petroleum Corp Ltd (BPCL) and Shipping Corporation of India.

The government has also taken a stand to cut shareholding percentage in select public sector firms to below 51% in order to boost revenue collections. Currently, the revenue collections are hit by the slowing economy.

Also Read: Finance Minister to Come up with the Motion to Sell Air India

Finance Minister Nirmala Sitharaman confirmed that the Cabinet Committee on Economic Affairs (CCEA) has approved the sale of government’s stake, 53.29%, along with the transfer of management authority of the country’s second-biggest state-owned Bharat Petroleum Corp Ltd (BPCL). The government has already lost control of Numaligarh refinery.

In addition, the government has approved the sale of an entire 63.75% stake in Shipping Corporation of India (SCI) and a 30.8% stake in Container Corp of India (CONCOR).

For any clarifications/feedback on the topic, please contact the writer at apoorva.n@cleartax.in

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