With the din over disinvestment still resounding and the mayhem in the bourses still fresh, Dr Singh Thursday set out the new government's economic agenda, promising to continue reforms, including privatisation, but with a "human face".

At an unscheduled press conference, Dr Singh ruled out disinvestment of PSUs in strategic sectors, like oil and gas majors ONGC and GAIL, to protect "workers' interests". "There is no intention to privatise them," he said. But he endorsed the commitment of the Congress-led United Progressive Alliance to build strong private and public sectors while pursuing "selective disinvestment".

Asked about the Left's role in the new government's reform process, Dr Singh said: "Life is never free from contradictions and the coalition government will try to promote a strong and stable government and create relations with allies to fight against poverty, ignorance and disease. They (Left parties) are also great patriots.

"Privatisation was not part of our ideology. We believe India needs a strong private sector and it needs a strong public sector," he added. Similarly, he said, nationalised banks will remain in the public sector domain. "If they can't compete on equal footing with the private sector or become a drag on the exchequer, then by all means they will be allowed to raise resources from market through disinvestment," Dr Singh said, even as he promised that workers' interest will be protected at the same time. However, he was silent on the issue of mergers of large and small banks. It's speculated that this may perhaps figure in the Budget to be presented soon.

Dr Singh said that if PSUs, while remaining as public enterprises, wanted to raise resources through disinvestment or sale of part of their equity, "they are most welcome". Wherever public sector enterprises want to compete with the private sector, domestic or foreign, there was no reason why they should not be allowed to go forward, he said. This, some analysts point out, was exactly what former disinvestment minister Arun Shourie had suggested for ONGC.

Describing the reforms process as an effort to realise Rajiv Gandhi's dream "to make 21st century India's century", he said education and health for all, improved environment, housing for slum dwellers and increased agricultural production will be his main targets. The CMP, Dr Singh said, will create an industry-friendly environment.