Question

“Navratan Policy of the government has helped in improving the performance of public sector undertakings in India.”

Do you agree with the given statement? Justify your answer with valid arguments.

Answer 1

Yes, I agree with the statement.

Justification:

1. Operational Autonomy: Under the Navratna Policy, Selected Public Sector Undertakings (PSUs) were given more financial and operational autonomy, enabling them to make their own strategic choices and increase productivity.
2. Global Competitiveness: If they had greater freedom, these PSUs could improve their performance by investing in technology, growing internationally, and competing with private and foreign companies.
3. Profitability and Growth: Many Navratna businesses have recorded notable growth and profit rises, which has boosted the economy and produced job possibilities.