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Home  » Business » Time ripe for IOC, ONGC divestment: Naik

Time ripe for IOC, ONGC divestment: Naik

Source: PTI
November 13, 2003 14:01 IST
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Petroleum Minister Ram Naik on Thursday said that the present time was ripe for public offer of government equity shares in Indian Oil Corporation and Oil and Natural Gas Corporation to meet the revenue deficit.

He, however, added that no decision on selling shares of IOC and the ONGC in domestic or overseas market has been taken and the proposal will have to come from the ministry of divestment.

"If funds have to be raised, (the public sale of shares of) IOC and ONGC can be done. The proposal to this effect has to first come from divestment ministry and, after discussions at the inter-ministerial level, (it) will go to the Cabinet," he told reporters in New Delhi.

Asked if there was a proposal to sell 20 per cent government stake in IOC and 5 per cent equity in ONGC in the market, he said, "Discussions are at different levels. When it is completed, the ministry of divestment will take it to the Cabinet for approval."

Noting that the Rs 13,200 crore (Rs 132 billion) target for revenue from divestment proceeds was largely unmet, he said, "Stock markets are booming and it is proper time for public issue if this deficit has to be met."

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