Prime Minister Narendra Modi’s visionary Atma Nirbhar Bharat scheme, which is set to transform the Indian economy and it’s readiness for post COVID scenario, has taken a new important turn today. The finance minister Nirmala Sitharaman made an announcement that all private sectors will be allowed in all sectors in the country. In the sectors, where there are more than four public sector enterprises (PSEs), she stated, there will be a merger.
She added this decision to increase the participation of private players is part of the coherent policy to make India self-sufficient. The Union Minister said, “Public sector will continue to play an important role in defined areas.”
Sitharaman added, “We will define the areas where their presence will be impactfully felt.”
The government will announce a new policy soon to permit private players into areas where public sector enterprises are heavily present or have a monopoly. She added that the list of strategic sectors requiring the presence of PSEs in the public interest will be notified. “In strategic sectors, at least one enterprise will remain in the public sector but the private sector will also be allowed. In other sectors, PSEs will be privatised.” But this move is subjected to timing that is based on feasibility, among other things.
This decision is made to minimise wasteful administrative costs, and bring down the number of public sector enterprises in strategic sectors and other areas