What Happened
- The Government of India is planning to identify and develop "Champion CPSEs" (Central Public Sector Enterprises) as part of its Viksit Bharat 2047 vision to transform India into a developed nation by the centenary of independence.
- NITI Aayog has been tasked with preparing a comprehensive roadmap for the reform and transformation of select CPSEs to make them globally competitive.
- The initiative aims to leverage the strengths of top-performing CPSEs across strategic sectors to drive India's economic growth towards a $30 trillion economy target by 2047.
- NITI Aayog recently released a series of 11 study reports outlining India's development pathways towards Viksit Bharat 2047 while progressing towards Net Zero by 2070.
- The Champion CPSEs initiative builds on the New Public Sector Enterprise Policy of 2021, which classified CPSEs into strategic and non-strategic sectors.
Static Topic Bridges
Central Public Sector Enterprises (CPSEs) — Role and Reform
CPSEs are companies in which the Central Government holds 51% or more of the paid-up share capital directly, or indirectly through another CPSE. They were conceived as the "commanding heights" of the economy under the Industrial Policy Resolution of 1956, inspired by the Mahalanobis model of development. Over the decades, CPSEs have been reformed through successive disinvestment waves, autonomy-granting mechanisms like Navratna/Maharatna status, and performance benchmarking.
- Total CPSEs in India: approximately 389 (as per the Public Enterprises Survey)
- Classification by performance: Maharatna (12), Navratna (14), Miniratna Category-I (73), Miniratna Category-II (17)
- Combined turnover of CPSEs: over Rs 30 lakh crore
- Maharatna CPSEs include: ONGC, Indian Oil, NTPC, Coal India, SAIL, BHEL, GAIL, Power Grid, and others
- Department of Public Enterprises (DPE) under the Ministry of Finance oversees CPSEs
Connection to this news: The Champion CPSEs initiative seeks to go beyond the existing Maharatna/Navratna framework by identifying enterprises that can become globally competitive champions, aligning their strategic missions with the Viksit Bharat 2047 goals.
Disinvestment and Privatisation Policy
India's disinvestment policy has evolved from tentative minority stake sales in 1991-92 to strategic disinvestment involving transfer of management control. The New Public Sector Enterprise Policy notified on 4 February 2021 classifies CPSEs into strategic and non-strategic sectors, with the government retaining bare minimum presence in strategic sectors and privatising non-strategic CPSEs. The policy is implemented through DIPAM (Department of Investment and Public Asset Management).
- Strategic sectors under the policy: atomic energy, space, defence, transport, telecommunications, power, petroleum, coal, minerals, banking, insurance, and financial services
- Key disinvestment methods: Initial Public Offer (IPO), Offer for Sale (OFS), buyback, and strategic sale
- Major strategic disinvestments: Air India (2022), BPCL (ongoing), CONCOR, Shipping Corporation
- DIPAM target for FY 2025-26: set in the Union Budget annually
- Non-strategic CPSEs are to be privatised, merged, or closed
Connection to this news: The Champion CPSEs concept represents a shift from the disinvestment-focused approach to a performance-maximisation approach for strategically important public enterprises, complementing rather than replacing the privatisation agenda.
NITI Aayog — India's Policy Think Tank
The National Institution for Transforming India (NITI Aayog) was established on 1 January 2015, replacing the Planning Commission. It serves as the Government of India's premier policy think tank, providing both directional and policy inputs. Unlike the Planning Commission, NITI Aayog has no power to allocate funds to ministries and states, functioning instead as an advisory body with a cooperative federalism mandate.
- Chairperson: Prime Minister of India (ex-officio)
- CEO: Appointed by the Prime Minister (Secretary-rank)
- Governing Council: All Chief Ministers, Lt. Governors of UTs with legislatures
- Key functions: long-term policy vision, cooperative federalism, monitoring SDGs, Aspirational Districts Programme
- NITI Aayog released Viksit Bharat 2047 approach papers and Net Zero 2070 pathways (February 2026)
Connection to this news: NITI Aayog's mandate to prepare the Champion CPSEs roadmap reflects its role as the strategic planning body that bridges long-term vision documents with actionable policy frameworks for government departments.
Key Facts & Data
- Viksit Bharat 2047 target: India to become a $30 trillion developed economy by 2047
- Total CPSEs in India: approximately 389
- Maharatna CPSEs: 12; Navratna: 14; Miniratna: 90
- New PSE Policy: notified on 4 February 2021
- NITI Aayog replaced Planning Commission: 1 January 2015
- NITI Aayog Viksit Bharat study reports: 11 reports released in February 2026
- CSR mandate for CPSEs: 60% of CSR funds directed to Aspirational Districts