New Delhi, July 8: Two days after Finance Minister Nirmala Sitharaman presented her maiden Union Budget 2019 in Parliament, Trinamool Congress MP Dola Sen gave Zero Hour Notice in Rajya Sabha over "Centre’s proposal to divest 42 PSUs" on Monday. In the Budget, Sitharaman had stated that the Union government is mulling disinvestment in PSUs and inviting FDI to boost India's growth rate.
With a focus on easing of foreign investment rules and more infrastructure spending in an effort to boost flagging growth rates and create jobs, the Union Finance Minister proposed FDI in Public Service Undertakings and turn them profitable with public-private partnerships. The sectors that the Union government wants PPP investment include, aviation, defence, telecom, railways, media, among others. Budget 2019-20: Nirmala Sitharaman Raises Taxes on Super-Rich, Eases FDI to Boost Investment - 10 Points
The prime motive behind this move by the government to boost foreign direct investment (FDI) in several sectors is speculated to cope up with the world's fastest-growing major economies and generate options for employment in the country to silence the academicians and economists questioning the Narendra Modi government. Union Budget 2019: Nirmala Sitharaman Advocates FDI Push to Make India 5 Trillion Dollar Economy by 2024, Mulls Structural Reforms
In her Budget speech, Sitharaman also said India's public sector banks would be injected with $10.2 billion in additional capital to tackle bad loans. She was of the opinion that welcoming FDI would secure India's rank in the world's biggest economies and bring India in the third place after the US and China by 2024. The Minister has set her aim - with the Budget - to make India $5 trillion economy by 2024, which has currently crossed $2.5 trillion.