Modi government launches record Rs 52,878 crore IDBI Bank stake sale

The Modi government disclosed a plan to divest a 60.72% share in IDBI Bank for Rs 52,878 crore, setting a new record for strategic disinvestment and surpassing the Rs 36,915-crore HPCL sale in FY18 and the Rs 18,000-crore Air India transaction in 2021. This follows a decade of stake sales across aviation, energy, shipping and infrastructure, involving transfers to other government-owned entities and private sector buyers.

Notable past deals include THDC India Ltd’s sale to NTPC for Rs 7,500 crore, ONGC’s acquisition of a 51.11% HPCL stake for Rs 36,915 crore, and the disposal of various port and power assets. Some proceeds were credited to the exchequer, while others, such as the sales of Ispat Nigam Ltd and Indian Medicines Pharmaceutical Corporation, did not add to government revenues. The series of transactions reflects a broader strategy to reduce public sector footprints and raise capital.