The meeting will also consider the shortfall in redemption position of different schemes under the erstwhile Unit Trust of India. On October 31, the notional shortfall was estimated at Rs 5,700 crore.
However, there is no problem on this account because the finance ministry is committed to meet the entire liability of the mutual fund.
Moreover, the budgetary allocation for 2003-04 and supplementary demands for grants are considered adequate to meet the redemption pressure on different schemes of UTI-I.
The requirement for the next fiscal will be finalised by January.
UTI-I has been offloading scrips in different companies gradually. To avoid volatility in the market, the ministry had advised the mutual fund not to offload the entire stock precipitiously.
The review meeting is significant since there has been hardly any progress on the closure of UTI-I, though the Cabinet approved it last year.
