Question

The government is planning to privatise Bharatiya Udyog Nigam, a public sector company.

What option(s) does the government have to implement the plan?

• A. The government can sell complete ownership of Bhatartiya Udyog Nigam to a private player.
• B. The government can shift the management of the company to another ministry.
• C. The government can reserve the company only for the public sector.
• D. Both the government as well as private players can own and manage the company.

Answer 1

Answer: (A), (D)

Both the government as well as private players can own and manage the company.

Privatisation is a process where ownership and management of government-run companies are transferred to the private sector. Measures like selling ownership, build, operate, and transfer, and public-private partnership can be taken to turn a government-run company into a private one.