India to raise $6 billion from asset sales next financial year: Report

Budget 2023: Finance Minister Nirmala Sitharaman on Wednesday scaled down the current year’s goal to 500 billion rupees from 650 billion rupees.

India aims to raise 510 billion rupees ($6 billion) in the year starting April 1, roughly the same as the previous period.

India aims to raise 510 billion rupees ($6 billion) in the year starting April 1. (Representative image)

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Finance Minister Nirmala Sitharaman on Wednesday scaled down the current year’s goal to 500 billion rupees from 650 billion rupees after the government was forced to shelve big-ticket sales such as Bharat Petroleum Corp. and delay the privatization of IDBI Bank Ltd. So far it has raised about 311 billion rupees with just two months to go in the financial year.

This would be the fourth consecutive year of missed targets. Prime Minister Narendra Modi had been counting on asset sales to help him keep spending without raising market borrowings too much.

Read here: Union Budget 2023: Read Nirmala Sitharaman's full speech here

Some crucial state polls this year, followed by national elections in 2024 where PM Modi will seek a third term, may make it challenging for the government to push for further privatization.