The Ministry of Divestment is a new Ministry of the Government of India. The Minister is Mr. Arun Shourie, Journalist turned politician, and former officer at the World Bank. Divestment is another name for ’Disinvestment’. Actually the Ministry’s name is the Ministry of Disinvestment. Disinvestment is the opposite of investment. The Government of India usually invests huge amounts of money in public sector undertakings like the National Aluminium Company (NALCO). If it is desired to disinvest the huge amount of money already invested, then the policy decision gets disseminated through its own grapevine very quickly, and offers from private parties are made. Recently many private parties, including some from abroad had come to NALCO, Angul. They were not allowed to enter into NALCO premises by the powerful trade unions, and they had to go back. An honourable retreat indeed. So, what is good for the economy of the country ? The trade unions say that the economy of the country is linked with the economy of the workers and their welfare. How can disinvestment benefit the workers and other labour force ? And the debate goes on.
I would like to refer to a news item published in The Hindu, Madras, dated 1 March 2003. It is as follows:
NEW DELHI, FEB 28. Despite a serious setback to the disinvestment programme in the current fiscal, the Government has set a revenue mobilisation target of Rs. 13, 200 crores for 2003-2004. The target for this year was Rs. 12, 000 crores, but actual receipts have only reached Rs. 3360 crores.
’’ I am confident that the pace of disinvestment will accelerate in the coming year’’, said the Finance Minister, Jaswant Singh. He stated that details about the already-announced Disinvestment Fund and Asset Management Company, to hold residual shares, post-disinvestment should be finalised early in 2004 - 04. Let us wish Best of Luck to the Finance Minister, and hope for the best.