India Fast-Tracks Plans to Sell Stake in Public Sector Companies to Offset High Oil Price Strain

India is said to be hastening its plan to sell stakes in some major state-owned companies to boost public finances that have been hit by the rise in oil prices, according to a Bloomberg report on Thursday, citing sources. As per the sources cited in the report, eight public sector companies have been identified by officials of the finance ministry for possible stake sales in the coming months. Of these, the sale of a stake in Life Insurance Corp. of India (NSE:LICI, BOM:543526) could bring in up to 100 billion Indian rupees for the government and 50 billion rupees from selling a stake in Hindustan Zinc (BOM:543526, BOM:500188). The report said officials responsible for charting out divestment plans are holding weekly meetings with investment bankers to understand investor demand, determine pricing, and finalize timelines. Also, more bankers are likely being roped in to prepare more state-run companies for divestment in the future. India's finance ministry did not immediately respond to ' request for a comment. (Market Chatter news is derived from conversations with market professionals globally. This information is believed to be from reliable.