Economics · Economic Reforms

What was the primary rationale behind industrial disinvestment policy introduced during the post-1991 economic reform period in India?

Verified Solution4 OptionsUpdated: October 2026👁️1 View

1To completely nationalize private firms
2To reduce the government stake in non-strategic public sector undertakings and enhance managerial efficiency✓
3To intentionally increase public sector debt burdens
4To directly finance localized cultural programs

Correct answer

To reduce the government stake in non-strategic public sector undertakings and enhance managerial efficiency

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