‘ Privatisation of CPSEs in recession time horrible idea’

Privatisation of central public sector enterprises (CPSEs) in a recession time is a "horrible idea" as legitimate requirement of the financial sector to meet current requirement is further eroded, former chief statistician Pronab Sen said on Wednesday.

Sen said Finance Minister Nirmala Sitharaman did not mention world "employment" in her Budget Speech 2021-22.

"Privatisation (of CPSEs) is best done when the economy is booming...privatisation in a recession time is a horrible idea," he said.

The government has budgeted Rs 1.75 lakh crore from stake sale in public sector companies and financial institutions, including two public sector banks (PSBs) and one general insurance company, in the next fiscal year beginning April 1.

"The point is that timing is wrong because legitimate requirement of the financial sector to meet the current requirement is further eroded," Sen added.