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Public Sector Undertakings: Indian Administration Video Lecture | Public Administration Optional for UPSC (Notes)

FAQs on Public Sector Undertakings: Indian Administration Video Lecture - Public Administration Optional for UPSC (Notes)

1. What are Public Sector Undertakings (PSUs) in India?

Ans. Public Sector Undertakings (PSUs) are companies owned by the government of India, either fully or partially, with a significant stake held by the government. They play a crucial role in the Indian economy by providing essential services, generating employment, and contributing to national revenue. PSUs operate in various sectors, including energy, manufacturing, transportation, and finance.

2. How are PSUs classified in India?

Ans. PSUs in India are primarily classified into two categories: Central Public Sector Enterprises (CPSEs) and State Public Sector Enterprises (SPSEs). CPSEs are owned by the central government, while SPSEs are owned by state governments. Additionally, CPSEs can be further categorized based on their financial performance and importance, such as 'Navratna', 'Miniratna', and 'Maharatna' status.

3. What is the significance of PSUs in the Indian economy?

Ans. PSUs are significant to the Indian economy as they contribute to infrastructure development, provide essential goods and services, and create job opportunities. They often operate in strategic sectors that are vital for national security and economic stability. Moreover, they play a key role in regulating prices and ensuring availability of essential commodities.

4. What are the challenges faced by PSUs in India?

Ans. PSUs face several challenges, including bureaucratic hurdles, lack of operational flexibility, and competition from private sector enterprises. Additionally, issues such as political interference, underinvestment, and inefficiencies in management can hinder their performance. Adapting to modernization and technological advancements is also a significant challenge for many PSUs.

5. How does the government support the growth of PSUs?

Ans. The government supports the growth of PSUs through various measures, including financial assistance, policy frameworks, and strategic planning. Initiatives like disinvestment, mergers, and collaborations with private firms are also implemented to enhance efficiency and performance. Furthermore, the government emphasizes skill development and technological upgrades to ensure the competitiveness of PSUs.

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Sep 29, 2025 Last updated

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	Public Administration Optional for UPSC (Notes) 58 videos\|242 docs

Public Administration Optional for UPSC (Notes)

58 videos|242 docs

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