Facebook Blogging

Edward Hugh has a lively and enjoyable Facebook community where he publishes frequent breaking news economics links and short updates. If you would like to receive these updates on a regular basis and join the debate please invite Edward as a friend by clicking the Facebook link at the top of the right sidebar.

Friday, October 17, 2003

To disinvest or not to disinvest

Kaushik talked about disinvestment a few days back. I have a question, why is Ram Naik so opposed to disinvestment?

The standard answer is minister's oppose privatization because they want to protect their turf/ milk the PSUs for personal gain. Perhaps...

But if that is the case, then there should plenty of moolah involved for the party and Ram Naik himself. As far I know no one has so far suggested that Ram Naik is on the take (you are welcome to correct me).

Ram Naik is taking a lot of political risk opposing privatization. Both his bosses (Vajpayee and Advani), the chattering classes, the financial markets and a determined minister are gunning for him now. Add it all up and it is a pretty strong lobby. Please don't tell me he is risking so much just to use the HPCL guest house in Bombay.

But then again never under estimate the power of pettiness!

Ram Naik represents North Mumbai Lok Sabha. He has a track record of getting elected successively five times.

Perhaps he needs HPCL/ BPCL to dole out jobs and sundry favours for his constituents?

I really dunno, but I'm sure we'll get back to the disinvestment debate. Watch this space.

BTW, here is a tit-bit (pun not intended), as private member Ram Naik introduced a Bill for "Promotion of Breast feeding and Ban on advertisement of Baby Foods". The Bill was subsequently adopted by the Government and became an Act.

No comments: