How Centre achieved divestment target despite volatile market conditions

Disinvestment proceeds are key for the government's finances as they help bridge the fiscal deficit

The government has exceeded the disinvestment target for the second year in a row in 2018-19. It mopped up Rs 83, 522 crore against the budgeted target of Rs 80,000 crore for the just-concluded financial year. In the 2017-18, the centre had achieved an ambitious target of Rs 1 trillion. Achieving disinvestment targets despite volatile market conditions is a commendable feat. However, a closer look at the disinvestment figures reveals that the government had to resort to unconventional methods to achieve the target.

Money raised through conventional methods such as Initial public offering (IPO) and offer for sales (OFS) witnessed