Govt. sold 2.5 percent stake in L&T

Govt. sold 2.5 percent stake in L&T

Question: What is the fiscal deficit target of the government?
(a) 3.2 percent of GDP
(b) 4.5 percent of GDP
(c) 2.5 percent of GDP
(d) 1.5 percent of GDP
Ans: (a)
Related Fact :

  • On June 21, 2017, India sold a 2.5 per cent stake in engineering and construction group company Larsen & Toubro Ltd (L&T).
  • This has brought in cash of more than Rs. 4,000 crore to the government.
  • The stake which was held by the Specified Undertaking of Unit Trust of India (SUUTI) was sold through block deals in stock markets.
  • SUUTI (government owned unit) owned a 6.68 per cent stake in L&T as of the end of March.
  • India is aiming to raise Rs. 72,500 crore through the sale of partial government stakes in state-run and private firms during the year to March 2018, to meet fiscal deficit target of 3.2 per cent of gross domestic product.

Reference:
http://www.thehindubusinessline.com/companies/govt-sells-619-mn-stake-in-lt/article9731981.ece?homepage=true