Q.1. The Public sector enterprises have played a vital role in the economic development of
India. However, government of India vigorously pursues the policy of disinvestment
of such units. What is the rationale of disinvestment at this time?
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Government is applying the policy of disinvestment because public enterprises are going in loss. So government wants to give a chance to private sectors so that the situation can be improved. Government wants to privatize railway and air India too. So there are chances of seeing the Private railways in India.
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