The term 'Navratnas' in public sector reform refers to:
Show answer & explanation
Correct answer: B
Explanation
The correct answer is option 2 i.e. Public enterprises granted autonomy for better performance.
The term Navratnas in public sector reform refers to select Central Public Sector Enterprises (CPSEs) that are granted enhanced financial and operational autonomy by the Government of India. This status was introduced to improve efficiency, competitiveness, and global presence of high-performing public enterprises. Navratna companies have the freedom to make investment decisions, enter joint ventures, and expand operations without seeking prior government approval within certain limits. The aim is to enable these enterprises to function more like private corporations while still remaining under government ownership. This reform helps in reducing bureaucratic delays, improving decision-making speed, and enhancing profitability and overall performance of these strategic public sector units.