The central government is planning to privatize 10 public sector undertakings (PSUs) and sell their stake. Sources told CNBC-TV18 that the offer for sale (OFS) option can also be used for this. The cabinet secretary has sought timelines and other information on the strategic investment.

The Department of Investment and Public Asset Management (DIPAM) and NITI Aayog have been given the responsibility of making a list of PSUs in which the government can sell stake.

According to sources, these PSUs may include Neyveli Lignite, KIOCL, SJVN, HUDCO, MMTC, General Insurance Company, New India Assurance

Apart from this, shares of three more PSUs - Indian Railway Finance Corp, Rail Vikas Nigam and Mazagon Dock Shipbuilders can be resold under the minimum public shareholding norms. OFS for these three is likely to come in the next financial year.

Finance Minister Nirmala Sitharaman had set a target of raising Rs 1.75 lakh crore through stake sale in government companies in this year's budget. However, due to the second wave of the epidemic, this plan of the government is difficult to succeed. In the last few years, many of the government's goals of raising funds by selling stake in state-owned companies have not been met.

On the other hand, NITI Aayog has submitted the names of public sector banks which are to be privatized in the current financial year under the disinvestment process to the Core Committee of Secretaries on Disinvestment.

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