The correct answer is DIPAM. Explanation & Key Takeaways: • Department of Investment and Public Asset Management (DIPAM) is the nodal agency in India for managing disinvestment and strategic sale of public sector enterprises (PSEs). • DIPAM operates under the Ministry of Finance and is responsible for generating revenue through the sale of government stakes in public sector companies. • The department was earlier known as the Department of Disinvestment before being renamed as DIPAM in 2016. • DIPAM's objective is to ensure optimal realization from the sale of government equity in central public sector enterprises (CPSEs). • It also oversees the management of assets of public sector enterprises, including those earmarked for disinvestment. Related Concepts: • Disinvestment: • It refers to the process of selling or liquidating the government’s stake in public sector undertakings (PSUs). • The primary objective of disinvestment is to raise resources for the government and improve the operational efficiency of PSUs. • Disinvestment proceeds are part of the non-tax revenue of the government. • Strategic Disinvestment: • It involves the sale of substantial portions of government equity in a PSU, often to private entities, along with the transfer of management control. • Strategic disinvestment aims to bring in private sector expertise and investment for better management and growth of PSUs. • DIPAM’s Key Functions: • Formulating policies related to disinvestment and asset monetization. • Advising the government on the timing and mode of disinvestment. • Overseeing the listing of CPSEs on stock exchanges to unlock their value. • Examples of Recent Disinvestments: • Major disinvestment cases include the strategic sale of Air India, LIC IPO, and BPCL disinvestment. • These initiatives aim to bridge the fiscal deficit and promote a self-reliant India.