Archive · 12 Dec 2025
CPSE Dividends Surpass Disinvestment Proceeds in FY26
The Indian government has been receiving a lot of money from companies it owns, called Central Public Sector Enterprises (CPSEs).
This money, called dividends, is more than five times what the government has earned from selling parts of other companies, called disinvestment.
So far this year, the government has received ₹41,478 crore from dividends, while only ₹7,348.6 crore from selling parts of companies.
The top companies giving this money are Coal India, ONGC, and NTPC.
The government has been doing well in making these companies more efficient, which is why they are giving more money.
The government had planned to get ₹69,000 crore from these dividends this year, and they have already received 60% of that amount.
Dividend income from CPSEs has surpassed disinvestment proceeds in FY26, with ₹41,478 crore received from dividends compared to ₹7,348.6 crore from disinvestment.
Coal India, ONGC, and NTPC are the top contributors to dividend income, accounting for a significant portion of the total.
The government has not budgeted for any disinvestment receipt this year, relying more on CPSE dividends for non-tax revenue.
Dividend inflows have consistently exceeded budget estimates since FY22, with the government having already received 60% of its FY26 budget estimate.
The strong performance of CPSEs is attributed to the government's focus on increasing their efficiency and a DIPAM mandate requiring CPSEs to pay a significant portion of their profits as dividends.
- Who
- The Government of India and Central Public Sector Enterprises (CPSEs)
- What
- Dividend income from CPSEs has surpassed disinvestment proceeds in FY26
- When
- As of December 4, 2025
- Where
- India
- Why
- Due to the strong performance of CPSEs and the government's focus on increasing their efficiency
- Total Dividend Income (FY26 YTD)
- ₹41,478 crore
- Total Disinvestment Proceeds (FY26 YTD)
- ₹7,348.6 crore
- Top Dividend Contributor (FY26 YTD)
- Coal India (₹8,131.64 crore)
- Second Top Dividend Contributor (FY26 YTD)
- ONGC (₹5,371.43 crore)
- Third Top Dividend Contributor (FY26 YTD)
- NTPC (₹3,022.76 crore)
- Budgeted Dividend Income (FY26)
- ₹69,000 crore
- Percentage of Budget Met (FY26 YTD)
- 60%
