Budget 2018: FinMin could raise disinvestment target to Rs 1 trn

Likelihood of outstripping 2017-18 budgeted estimate of Rs 725 bn seen as key driver; Air India sale to be marquee disinvestment action

Buoyed by the success of this year’s disinvestment programme, the Finance Ministry could set an even higher target of Rs 900 billion-1 trillion (Rs 90,000-1,00,000 crore) for 2018-19. This will encompass the sale of Air India, a number of other privatization initiatives, mergers, initial public offerings, the centre’s two exchange-traded funds, buybacks and offers-for-sale, and even monetization of land assets.

The budgeted estimate for 2017-18 is Rs 725 billion (Rs 72,500 crore), the highest ever for a year so far. With the acquisition of Hindustan Petroleum by ONGC expected to be completed soon, that target will be easily outstripped.