Question

Consider the following statements with reference to Disinvestment

1. All the proceeds from the disinvestment of Centre Public Sector Enterprises will be channelized to National Investment Fund (NIF)

2. The Department of Economic Affairs under Ministry of finance is the nodal agency for disinvestment

Which of the statements given above is/are correct? 

1. 1 only
2. 2 only
3. 1 and 2 both
4. Neither 1 or 2

Answer 1

Correct Answer - Option 1 : 1 only

The correct answer is 1 only

• The Department for investment and public asset management (DIPAM) under Ministry of finance is the nodal agency for disinvestment. Hence, statement 2 is incorrect.
• All the proceeds from the disinvestment of Centre Public Sector Enterprises were to be channelized to National Investment Fund (NIF). 75% of the fund will be used in social sector schemes while 25% is to be utilized in the revival of PSUs.