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The term disinvestment is defined as the shrinkage of capital investment which is caused by the failure of a firm to maintain or replace its capital assets which are being used up or by the sale of the capital goods by the firm, such as the equipment owned by it. Disinvestment also means the withdrawal of capital from a country or a corporation.

It was a term which was first used in the 1980's. It was most commonly used in the United States of America to refer to the use of a concerted effort to boycott South Africa in the economic sphere. It was designed to pressurize the government of the African republic into abolishing its policy of apartheid, which was still in force at that time. Since the year 1991, the term disinvestment was used in India to mean the privatisation of assets which held by the State. The minister for disinvestment is a post at the cabinet level.

On the other hand, the term divestment means the disposal of a business or a segment of the business. It also means the disposal of certain sections of a business. It is usually done when a company finds that one of the divisions under its administration is carrying out those activities which are not compatible with what it regards as its core business activities. The term divestment is also known as divestiture. It is a term which is commonly used in finance and economics. It refers to the reduction of some kind of assets, which is done to either attain some financial or social goals. The term divestment is contrary to the term investment.

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14y ago
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12y ago

PRIVATIZATION - is the process of transferring the ownership of a business of a public sector to the private sector ...

DISINVESTMENT - Wen d Govt retains 26% of d shares carrying voting powers while selling d remaining, it would hav disinvested all right but would not have privatised, becz with 26 percent it can use fr vital decisions for which generally a special resolution (three-fourths majority) is required !!

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Q: What is difference between divestment disinvestment?
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Who was the first minister for divestment under NDA government?

In 1999, after the Vajpayee Government came to power in India under the umbrella of the National Democratic Alliance, Arun Jaitley was appointed Minister of State for Divestment, or Disinvestment, a new Ministry created for the first time.


What is the difference between divest and disinvest?

The term disinvestment is defined as the shrinkage of capital investment which is caused by the failure of a firm to maintain or replace its capital assets which are being used up or by the sale of the capital goods by the firm, such as the equipment owned by it. Disinvestment also means the withdrawal of capital from a country or a corporation.It was a term which was first used in the 1980's. It was most commonly used in the United States of America to refer to the use of a concerted effort to boycott South Africa in the economic sphere. It was designed to pressurize the government of the African republic into abolishing its policy of apartheid, which was still in force at that time. Since the year 1991, the term disinvestment was used in India to mean the privatisation of assets which held by the State. The minister for disinvestment is a post at the cabinet level.On the other hand, the term divestment means the disposal of a business or a segment of the business. It also means the disposal of certain sections of a business. It is usually done when a company finds that one of the divisions under its administration is carrying out those activities which are not compatible with what it regards as its core business activities. The term divestment is also known as divestiture. It is a term which is commonly used in finance and economics. It refers to the reduction of some kind of assets, which is done to either attain some financial or social goals. The term divestment is contrary to the term investment Danish Khanna


Difference between privatization and disinvestment?

Privatization refers to the ownership of property by one person or group. They own it privately and free from intervention. Disinvestment is the shrinkage of capital investment when a firm fails to maintain or replace its assets that have been used up by sale of capital goods to the firm.


What does disinvestment indicate?

Disinvestment indicates the process of privatization


What is the disinvestment policy of India?

disinvestment programme in india


Disinvestment policies in India?

withdraw share of government it is called disinvestment


What is Divestment?

The process of disinvestment in India began in 1992, under the aegis of new economic liberalization policy put forward by then Finance Minister, Dr. Manmohan Singh. Disinvestment was supposed to be the tool in the hands of government to improve the functioning and profitability of public sector enterprises and also raise funds to mitigate its fiscal deficits. However, over the past decade, this exercise has been plagued by criticisms and controversies and has not achieved desired results for the government because of political bickering.


When did the disinvestment started in India?

In 1999.The Department of Disinvestment was set up as a separate department on 10thDecember,1999 and was later renamed as Ministry of Disinvestment from 6thSeptember,2001. From 27th May, 2004, the Department of Disinvestment is one of the Departments under the Ministry of Finance.-Rohit


What is the antonyms of investment?

divestment


What is an antonym for investment?

divestment


What is disinvestment?

The disinvestment is term for withdrawal of the capital from a country or in a corporation. It can also be the liquidation of an asset or subsidiary and also called as divestitures.


What are the benefits of divestment?

An advantage of a divestment is that it is a way for a company to sell off parts of the company it no longer wants. Another advantage is that itÕs a public process.