A) To consolidate public sector enterprises to facilitate disinvestment
B) To protect interest of employees
C) To expand the ownership base of the public sector enterprises
D) None of these
Correct Answer: D
Solution :
[d] The following are the main objectives of the disinvestment policy of the Government. |
(i) To reduce the financial burden on the Government. |
(ii) To improve public finances. |
(iii) To encourage wider share of ownership. |
(iv) To introduce, competition and market discipline. |
(v) To depoliticise essential services. |
(vi) To help public enterprises upgrade their technology to become competitive. |
(vii) To rationalise and retrain their workforce. |
(viii) To build competence and strengthen their R & D. |
(ix) To initiate diversification and expansion programmes. Thus, the disinvestment is aimed to reduce or mitigate fiscal deficit, bring about a measure of economic stabilisation or to improve efficiency in public enterprises through structural adjustments initiated to improve their efficiency and productivity. |
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