Government will get Rs17,308 crore in interim dividend from Coal India ltd as it seeks to explore more options to garner non-tax revenue. Coal India (CIl) on Saturday declared an interim dividend of Rs27.40 per share and the total outgo will be Rs20,830 crore, including dividend tax.
The largest beneficiary will be the Central Government, which holds 79.64 per cent and will get a dividend of Rs17,308 crore, a communique said. The Government has been able to mobilise a little over Rs18,300 crore from divestment this fiscal till February against the target of Rs69,500 crore due to volatility in stock markets.
As an alternative to selling stake through public offers, the Government had asked cash-rich Coal India ltd, National Aluminium Co ltd (NAlCO), NMDC ltd and MOIl ltd among half a dozen PSUs to buy back shares or announce additional dividend on the top of mandated 30 per cent.