The privatization of Indian state-run Computer Maintenance Corp (CMC) has been held up due to frequent changes in government. The firm, which maintains most of the Indian government computer systems, was one of the firms identified by the Indian government in 1996 for privatization. The plan was to sell 32.1% of its equity, bringing the government’s stake down to 51%. But two new Indian governments in as many years have delayed CMC’s privatization. The firm is now in desperate need of funds to diversify, but can’t access them, as the government is undecided on when the privatization exercise should begin.
