Rs 80,000 crore disinvestment & asset lease target for FY27

The Centre has set an ambitious disinvestment and asset monetisation target of Rs 80,000 crore for FY27, nearly 135% higher than the revised estimate of Rs 33,837 crore for FY26, banking on big-ticket transactions such as IDBI Bank and Life Insurance Corporation of India (LIC) to drive receipts.At the post-budget press conference, finance minister Nirmala Sitharaman said the government will continue to pursue all disinvestment proposals approved by the cabinet, signalling continuity in the asset-sale strategy despite slower progress in the current year.

So far in FY26, the government has mobilised Rs 8,768 crore through disinvestment, significantly lower than the Rs 17,201 crore raised in FY25.
Economic affairs department secretary Anuradha Thakur said the government has a “very strong asset monetisation plan” backed by a clearly defined pipeline. “A pipeline is prepared, and the government hopes to reap the dividends from that,” she said.

Among the key transactions expected in the first half of FY27 is the strategic sale of IDBI Bank, for which financial bids have already been invited. At current valuations, the sale of the government’s 30.48% stake could fetch around Rs 37,000 crore.

The government may also offload up to a 3% stake in LIC in FY27, potentially realising as much as Rs 20,000 crore. Stake sales in select public sector banks are on the table to meet minimum public shareholding (MPS) norms.