26-May-2026
Economy News
 
PSU closure: Govt sets in motion new move after years wasted in stop-start process
26-May-2026

The Centre has turned up the pressure on ministries to accelerate the shutdown of loss-making public sector enterprises, as progress on winding up unviable state-owned firms remains limited despite policy approval nearly eight years ago, The Times of India reported on May 25. Government officials said only one public sector company -- Rajasthan Drugs and Pharmaceuticals -- has effectively ceased operations after the Rajasthan government agreed to take it over. The development comes even though the Union government had earlier cleared the shutdown of more than 40 financially weak public sector undertakings, ToI's report (by Sidhartha) said. The issue was reviewed recently amid concerns over delays in both strategic disinvestment and closure processes. The reassessment followed the collapse of the proposed sale of IDBI Bank, after the government decided to discontinue the process nearly five years after it began because the two bids received were below the reserve price.

News Source:- https://economictimes.indiatimes.com/news/economy/policy/psu-closure-govt-sets-in-motion-new-move-after-years-wasted-in-stop-start-process/articleshow/131306261.cms