Which of the following is not a part of ownership measures taken under privatisation?

The correct answer is Leasing.

Key Points

Privatisation:

• It means the transfer of ownership, management, and control of the public sector enterprises to the private sector.
• Privatisation can suggest several things including the migration of something from the public sector to the private sector.
• It is also used as a metonym for deregulation when a massively regulated private firm or industry becomes less organised. Government services and operations may also be (denationalised) privatised.
• In these circumstances, private entities are tasked with the application of government plans or the execution of government assistance that had earlier been the vision of state-run companies.

Ways of Privatisation:

• Transfer of ownership: Government companies can be converted into private companies in the following two ways:​
  • By the withdrawal of the government from the ownership and management of public sector companies
  • By the outright sale of public sector companies.
• Disinvestment:
  • ​Privatisation of the public sector undertakings by selling off parts of the equity of PSUs to the private sector is known as disinvestment.
  • The purpose of the sale is mainly to improve financial discipline and facilitate modernisation.
• Liquidation:
  • ​Liquidation is the process of closing a business and distributing its assets to claimants.
  • The sale of assets is used to pay creditors and shareholders in the order of priority.
• Joint Venture:
  • A joint venture (JV) is a business arrangement in which two or more parties agree to pool their resources for the purpose of accomplishing a specific task.
  • This task can be a new project or any other business activity.
  • Each of the participants in a JV is responsible for profits, losses, and costs associated with it.