INSUBCONTINENT EXCLUSIVE:
The Centre expects that the target of dividends from non-financial state-owned enterprises (PSUs) could be missed this year
Oil and gas companies contribute a major chunk of PSU dividends
However, they might not be able to pay as much as previous years, or not at all, because of how crude oil prices have impacted them,
officials said.
The Budget Estimate for dividends from PSUs is Rs 40,000 crore
So far, the Centre has garnered Rs 15,766 crore
The state-owned oil and gas production companies have benefited from prices, but are paying windfall tax
chief policy advisor at EY India.
Among the other major heads under non-tax receipts and capital receipts, there is a shortfall expected
from dividends from state-owned banks and financial institutions and Reserve Bank of India (RBI)
30,307 crore as dividends, much lower than expectations
Last year, the dividend transferred was Rs 99,122 crore, because of which the total proceeds were substantially higher than FY22 BE (see
chart).
The total non-tax revenue target for the year is Rs 2.69 trillion, compared with the FY22 revised estimate of Rs 3.14 trillion,
and FY22 BE of Rs 2.43 trillion.
On divestment, officials see the FY23 BE of Rs 65,000 crore as a much more achievable figure than in
previous years, if things go according to plan, even though Tuhin Kanta Pandey, secretary of Department of Investment and Public Asset
Management, is managing expectations
the next fiscal year, the Centre is counting on the sale of its minority stake in Hindustan Zinc and privatisation of Shipping Corporation
this year, the Department of Investment and Public Asset Management (Dipam) has already garnered Rs 24,543.7 crore through offers for sale,
initial public offerings (IPOs), and share buybacks
