In other words, the money realised from stake sale bypasses the CFI and finds its way into the NIF. Ironically, it was the Congress which had criticised the BJP-led National Democratic Alliance government for using disinvestment proceeds to bridge the fiscal deficit.

“We will present a note to the CCEA in the next few weeks which will alter the way the disinvestment proceeds are managed and then used. They will, of course, continue to be used for only social-sector schemes,” Finance Secretary Ashok Chawla said without elaborating on the precise changes in rules the Ministry would propose.

Interacting with India Inc earlier today, Mukherjee said: “Disinvestment is a continuous process and will be done in consultation with the stakeholders concerned.”