The potential sale of a stake in state-owned steel producer NMDC Steel by the Shipping Corporation of India (SCI) is likely to receive renewed attention after the upcoming elections. This is according to a report in the Economic Times of India.
The privatization process for NMDC Steel has been on hold since 2020. The report cites unnamed sources suggesting that the government is keen to revive the sale and views it as a potential source of revenue. Minimizing dependence on public sector borrowings is another factor driving this renewed interest.
The success of the sale would depend on various factors, including global commodity prices and investor interest. Analysts believe the government might need to make the deal more attractive by offering better terms or including a strategic partner alongside the sale.
Source: Economic Times