PM Modi Defends PSU Reforms in Rajya Sabha, Says Public Sector Firms at Record Profits Driving ‘Make in India’

Prime Minister Narendra Modi on Tuesday strongly defended the government’s record on Public Sector Undertakings (PSUs), asserting that sustained reforms have pushed state-run enterprises to record profitability while turning them into key drivers of the Make in India initiative.

Speaking in the Rajya Sabha, the Prime Minister accused the Congress and its leaders of spreading misinformation about PSUs and deliberately misleading workers during their time in power. He alleged that Congress leaders routinely held protests outside PSU offices—targeting institutions such as LIC, State Bank of India, and other major public sector entities—attempting to incite unrest among employees, a tactic he likened to “urban Naxal-style” agitation.

Modi said previous governments failed to manage or strengthen these institutions. “They neither had control over these organizations nor the intent to improve their functioning. Instead, PSUs were used as instruments for political gain,” he remarked.

Highlighting the current administration’s approach, the Prime Minister said his government introduced a culture of continuous, reform-driven governance in the PSU sector. “We showed the courage to carry out sustained reforms. Today, our PSUs are delivering their best-ever performance,” he said.

He added that several enterprises that were once pushed to the brink of closure are now reporting record profits. According to Modi, the decline of these PSUs under earlier regimes was often leveraged for political narratives, whereas the present government focused on revival and performance.

Emphasising their role in national development, the Prime Minister said PSUs are now acting as catalytic agents for domestic manufacturing under Make in India, generating large-scale employment and contributing significantly to economic growth.

He also noted that Indian PSUs are expanding their global footprint, securing major international contracts and participating in development projects across multiple countries. “Our PSUs are not just meeting domestic demand—they are showcasing India’s strength on the global stage,” he said.

Calling the present phase a defining milestone in India’s 25-year development journey, Modi said the resurgence of PSUs reflects a broader economic transformation.

The Prime Minister concluded with sharp criticism of the Congress, accusing it of betraying public trust in the past—including that of farmers—while asserting that the current government has restored credibility, efficiency, and performance across the public sector ecosystem.