Raising money by selling shares of public sector companies cannot be the permanent solution to the economic slowdown, West Bengal chief minister Mamata Banerjee said on Thursday and advised the Centre to consult experts and talk to all parties to thrash out the issue.
On Wednesday, the Union Cabinet Committee on Economic Affairs gave in-principle approval to the strategic disinvestment in five state-run companies, including a sale of the government’s entire stake in Bharat Petroleum Corporation Ltd (BPCL), while retaining its ownership of Numaligarh Refinery Ltd (NRL) through another public sector company.
On tour of the state’s districts, Mamata Banerjee said while speaking to reporters at Berhampore town in Murshidabad that disinvestment in PSUs would not solve any crisis in the long run.
“If disinvestment continues like this a time will come when the Union government will not be owning any company. Rather than facing that, the government may consider going for the people pubic partnership model in business,” she said.
The chief minister said her Trinamool Congress is against disinvestment and that the merger of some companies may take place but without firing any employee.
“The Centre is selling shares of some renowned PSUs to cope with the economic crisis. This cannot be a permanent solution. We need stability in the economy. The cash inflow may be a solution only for the time being,” said Banerjee.
{{/usCountry}}“The Centre is selling shares of some renowned PSUs to cope with the economic crisis. This cannot be a permanent solution. We need stability in the economy. The cash inflow may be a solution only for the time being,” said Banerjee.
{{/usCountry}}“I hope the Prime Minister will consult experts and convene an all-party meeting. Employment has come to a halt in several sectors. People are not spending because they don’t have any savings,” she said.
The chief minister also said that Centre shifted the headquarters of United Bank of India (UBI) from West Bengal in the name of bank mergers.
“Several schemes of the state government run through UBI. If the headquarter doesn’t remain in this state what will be the future of those schemes?” she asked.
She also pulled the Centre on its demonetisation move and said it is still a worry.
“India is yet to emerge as a cashless society. After demonetisation, a large number of people are left with very little cash. They are facing problems in small businesses and farming,” she said.