Will close IDBI strategic sale in FY26: Dipam Secretary Arunish Chawla

Chawla, speaking at Network18's Reforms Reloaded event, said that the government plans to beat the disinvestment target of Rs 47,000 crore this year.

The government expects to conclude the strategic disinvestment of IDBI Bank in the current financial year, Department of Investment and Public Asset Management (DIPAM) Secretary Arunish Chawla said on Monday.

Chawla, speaking at Network18's Reforms Reloaded event, said that the government plans to beat the disinvestment target of Rs 47,000 crore this year.

“It is an integrated disinvestment policy. The public sector has a bona fide role to play. Maintaining security of supply chains is important,” Chawla said, adding that dividends also form part of the government’s disinvestment strategy.

He further indicated that, along with the IDBI sale, “half a dozen OFS (offer for sale), minority stake sale is likely along with 1-2 strategic sales.”

Finance Minister Nirmala Sitharaman had earlier spoken about the government’s focus on speeding up the process.

In an interview to Network18 Group Editor-in-Chief Rahul Joshi on September 5, she said the IDBI Bank sale is “moving fast and is expected to conclude by the ongoing financial year 2026.” On the possibility of more stake sales, the minister added, “I am not negating anything. More disinvestments.”

Chawla, speaking in August, had said that the process for IDBI stake sale had already reached an advanced stage. “The EoI part of the process has been fully completed, and the qualified parties have been through a provisional fit and proper assessment by the RBI. They are now doing the due diligence, and all details have been made available through the data room. We are in an advanced stage of completing the due diligence exercise and further steps, essentially the RFP stage, we hope to complete by the end of the financial year,” he told CNBC-TV18.

The strategic disinvestment of IDBI Bank is a key part of the government’s broader privatisation agenda.

The government and the Life Insurance Corporation of India (LIC) jointly own nearly 95% of IDBI Bank, with 60.72% of that stake earmarked for sale as part of the ongoing disinvestment program.

The Centre has already completed ₹20,000 crore worth of divestment in the first quarter of FY26, out of a target of ₹47,000 crore for the fiscal year.