It isn’t the only state-owned behemoth in which the government reckons it doesn’t need to be wasting its time.Half of India’s 235 Central public sector enterprises (CPSEs) are under scrutiny for a possible disinvestment. Between 2011-12 and 2015-16, a recent CAG report points out, its turnover declined from Rs 49,510 crore to Rs 26,587 crore and profits slipped from Rs 7,400 crore to losses of Rs 913 crore. Professors Aldo Musacchio and Sergio G Lazzarini talk about evolution of state capitalism in their book Reinventing State Capitalism (2014). "In fact, government should convert many of these operations into public sector outfits and set up a strategic framework to evaluate their performance," he says. While PSUs can build and own the infrastructure, private sector could do operations and maintenance efficiently."

Source: Economic Times August 12, 2017 19:03 UTC