Question

Which of the following correctly identifies objectives of disinvestment?

Options

• Increasing government monopoly and reducing private participation

• Preventing foreign direct investment in Indian enterprises

• Financial discipline, modernisation, and attracting FDI

• Maintaining full government control while increasing debt

Answer 1

Disinvestment pursues three primary objectives: establishing financial discipline within enterprises, enabling modernisation of operations and infrastructure, and attracting Foreign Direct Investment (FDI) to support growth and competitiveness.