Indian PSUs turn stronger economic pillars, add 200% growth in paid up capital, 150% net profit in 10 years: Secretary DPE
Technology, AI to drive efficiency and enhance competitiveness
Over the past decade, paid-up capital from public sector enterprises has surged from ?1.98 Lakh Crore to ?5.94 Lakh Crore, a remarkable 200% growth, while net profit soared from 1.29 Lakh Crore to ?3.22 Lakh Crore, marking a stellar 149.61% increase.
The increase in parameters such as paid-up capital, net profit, and exports over the past decade is not just about numbers — it is a testament to the growing strength, resilience, and contribution of PSEs to India’s economic journey, said Shri Moses Chalai, Secretary, Department of Public Enterprises, while addressing and interacting with the chief executives of Central PSEs in the CII Public Sector Enterprises Council Meeting on 3rd September in New Delhi on key strategies for strengthening the PSEs growth framework in India.
The PSE Council this year is focusing on Artificial Intelligence (AI) accelerating efficiency in PSEs. Adding insights into it, the Secretary said that technology has become the cornerstone of progress. For PSEs, adopting tools that enhance precision, speed, and productivity will be the key to driving efficiency and staying ahead in an increasingly competitive landscape.
“India’s share in global manufacturing is poised to rise significantly, and PSEs have a critical role in enabling this transformation. By leveraging their scale and capabilities, they can help position India as a global hub of manufacturing strength.” To achieve global standards, CPSEs must continuously benchmark their practices against both domestic private players and international leaders. Such benchmarking fosters innovation, improves competitiveness, and pushes us towards excellence, Shri Chalai added.
Shri Arun Kumar Singh, Chairman, CII PSE Council and Chairman & CEO, Oil & Natural Gas Ltd (ONGC) said that there is often a misconception that Public Sector Enterprises operate under rigid government control. PSEs are provided with full autonomy in decision-making, along with the necessary support to carry out their mandate effectively.
“Perception plays a powerful role in shaping the future of public sector enterprises. When PSEs are rightly seen as autonomous, competitive, and innovative institutions, supported but not constrained by the government, it builds confidence among investors and stakeholders, ultimately driving their growth and contribution to the economy.”
Shri Singh said, “We must encourage a framework where PSEs not only compete but also collaborate with each other. Such a balanced approach can generate synergies, enhance efficiency, and ultimately contribute more meaningfully to the nation’s growth.”
He also highlighted the growing concern about the country’s brightest minds who are no longer gravitating towards PSEs, as diverse opportunities in the private sector appear more attractive. “If we want PSEs to remain strong pillars of our economy, we must urgently make them destinations of choice for top talent.”
The PSE Council constituted by Confederation of Indian Industry (CII) in 2007 has been providing a unique platform to the CEOs and Board members of Central Public Sector Enterprises (CPSEs), being led annually by CMDs of Mahartna enterprises to build systematic and active engagements with the PSEs as well as private sector.