Economic Survey 2022: Air India sale to boost privatisation; need to encourage private participation across sectors

Air India sale will give a boost to India’s privatisation drive, according to the Economic Survey said, as it suggested redefining the public sector role in business enterprises to encourage private participation in all sectors.

The government earlier this month handed over ownership rights in national carrier Air India to Tata Group for Rs 18,000 crore.

“This progress on privatisation of Air India is particularly important, not only in terms of garnering disinvestment proceeds but also for boosting the privatisation drive,” the Survey said.

This is the first privatisation in 20 years and will pave the way for the sale of more CPSEs.

The survey said that in order to realise the mission of New, Self-reliant India, there was a need to redefine public sector participation in business enterprises and to encourage private sector participation in all sectors.

(With inputs from PTI)