Govt Achieves 78% Of FY27 Disinvestment Target In Five Months, Raises ₹62,124 Crore

During the first five months of the fiscal year 2027, the Indian government has successfully accomplished 78% of its disinvestment and asset monetisation target, generating ₹62,124 crore. The government had earmarked ₹80,000 crore for miscellaneous capital receipts in FY27. Of the funds collected so far, ₹55,757 crore originated from minority stake sales in nine public sector enterprises, strategic sales of companies like Indian Medicines Pharmaceuticals Corporation Ltd and SUUTI's remittances.

IDBI Bank Stake Sale: The Centre may greenlight a bid for 60.72% in IDBI Bank within a week. LIC Stake Sale: A 6.5% stake sale in the Life Insurance Corporation of India (LIC) contributed more than half of the disinvestment earnings, amounting to ₹31,515 crore. The government also generated ₹5,542 crore from a 2% stake sale in Coal India and ₹4,357 crore from a 6.01% dilution in NHPC.

Moreover, a 6% stake sale in Hindustan Copper yielded another ₹3,041 crore. Other participants in the government's stake-sale initiative include Central Bank of India, NLC India, GIC, IRFC, and Cochin Shipyard. The Centre has also mobilised ₹6,367 crore through asset monetisation via Infrastructure Investment Trusts (InvITs), augmenting total capital receipts to ₹62,124 crore.

IDBI Bank Sale: The government continues to pursue a strategic sale of IDBI Bank following its previous unsuccessful attempt. Bids from Dubai-based Emirates NDB and Fairfax Financial Holdings, led by Prem Watsa, have reportedly emerged. Amidst heightened fiscal pressure due to escalated energy and fertiliser import costs, the government aims to maintain a fiscal deficit of 4.3% of GDP for FY27.

In place of individual disinvestment targets, these receipts are now categorized under miscellaneous capital receipts, with ₹80,000 crore allocated for FY27.