Finance Ministry plans next tranches of CPSE, Bharat 22 ETFs in Q4

New Delhi: The finance ministry is likely to come out with the next tranches of CPSE and Bharat-22 exchange-traded funds (ETF) in the previous quarter of the current financial year in its efforts to meet ambitious disinvestment target of over Rs 1 lakh crore.

Based on the realisation of the disinvestment process in the three quarters, the decision on the next tranches of the ETFs would be taken during the January-March quarter, sources said.

Accordingly, the quantum will be fixed as to how much to raise through the ETF mode to meet the target set for the current financial year, the sources added. The CPSE ETF was launched for the first time in March 2014. Thereafter, five tranches were offered in January 2017, March 2017, November 2018, March 2019, and July 2019. The ETF invests in 11 public sector companies, including ONGC, Coal India, Indian Oil Corporation, Oil India, GAIL, Engineers India Ltd and Container Corporation of India.

The government raised Rs 11,500 crore from the last tranche of CPSE ETF floated in July.