When the government sells its shares or stakes in public companies, it is known as .

direct investment

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disinvestment

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investment

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public investment

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Solution

The correct option is B disinvestment
Sometimes, the government decides to sell its shares or stakes in public companies. This is known as disinvestment. Through disinvestment, the government gets receipts to finance its expenditures.

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Similar questions

Q. When applications for more shares of a company are received than the number offered to the public for subscription, it is known as .

Q17. Consider the following statements:

1. A majority disinvestment is one such that, at the end of it, the government retains a majority stake in the company, typically greater than 51%, thus ensuring management control.

2. A minority disinvestment is one in which the government, post disinvestment, retains a minority stake in the company i.e. it sells off a majority stake.

Which of the above statements are correct?

There are instances when applications for more shares of a company are received than the number offered to the public for subscription. It is known as ___

Act of selling a part or the whole of shares of selected public sector undertakings (PSU) held by the government to generate capital receipts is called _______.

Q. It is an invitation to the public to apply for shares or debentures of the company or to make deposits in the company. Name it.

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When the government sells its shares or stakes in public companies, it is known as .

The correct option is B disinvestmentSometimes, the government decides to sell its shares or stakes in public companies. This is known as disinvestment. Through disinvestment, the government gets receipts to finance its expenditures.

The correct option is B disinvestment
Sometimes, the government decides to sell its shares or stakes in public companies. This is known as disinvestment. Through disinvestment, the government gets receipts to finance its expenditures.