Public Sector Enterprises — Policy Reforms

Entry	Year	Description	Impact
Industrial Policy Resolution 1956	1956	Established the framework for public sector dominance in heavy industries and infrastructure, categorizing industries into three schedules with Schedule A exclusively reserved for public sector	Created the foundation for India's mixed economy model and justified massive public sector investments in steel, heavy engineering, and core industries
New Industrial Policy 1991	1991	Abolished industrial licensing for most sectors, reduced public sector reservation to eight industries, and initiated disinvestment program	Marked paradigm shift from state-led to market-oriented industrialization, opening most sectors to private competition while beginning PSE reforms
Disinvestment Policy 2021	2021	Redefined strategic sectors and announced policy of maintaining minimal public sector presence in strategic areas while completely exiting non-strategic sectors	Accelerated privatization process and introduced asset monetization as alternative to disinvestment, reshaping PSE landscape