Union Finance Minister Nirmala Sitharaman on Sunday said the government’s latest disinvestment policy including the proposal to privatise two state-run banks is not akin to “selling the family silver” as alleged by the opposition.
Speaking at an event here, Sitharaman said that the government’s focus is to strengthen the public sector undertakings (PSU) and make sure they professionally run themselves.
“It should be looked at with the correct perspective. It is not as the opposition says as ‘selling the family silver’. Family silver should be strengthened. It should be your strength,” she said.
On the banking sector, she noted that for the growth of the Indian economy, the country requires at least 20 banks of the size of the State Bank of India (SBI).
She reiterated that the government would have bare minimum presence in the strategic sectors where it is very important for the government to stay.
The Finance Minister who presented her third Budget on February 1 noted that the strategic sectors will not remain totally under the government’s domain and private players too will be allowed in the sectors.
Presenting the Union Budget for FY21-22, Sitharaman had proposed that two public sector banks (PSB) would be up for strategic disinvestment in the next fiscal along with IDBI Bank. One state-run general insurance company will also be privatised in the coming fiscal.