Ernst & Young India: Government should promote private investments in railways

Ernst & Young India has opined for the central government to divest their stake in the rail PSUs such as IRCON and IRCTC to a certain extent, such that the capital generated in the process can further be invested in infrastructure development. Industry experts have also opined for the privatisation of the DFCs. Between FY22 and FY25, the government has been able to generate Rs.3.85 lakh Cr by asset monetisation, under the National Monetisation Pipeline. But these revenues are far lesser than the targeted Rs.6 lakh Cr planned to be generated by the current financial year. The upcoming budget must focus more on inviting private participation in airports, railways and DFCs.