The NSE Centre for Excellence in Corporate Governance (CECG) has issued its most recent quarterly briefing titled “Corporate Governance in State-Owned Enterprises”. The executive summary is as follows:
- State-Owned Enterprises (SOEs) constitute an integral part of India’s economy, and their performance has generally been encouraging;
- They are subject to stringent governance norms: those applicable to private sector companies and more;
- Although SOEs are owned by the government, their control, supervision and management are somewhat diffused;
- They suffer from unique issues and challenges in corporate governance;
- Nevertheless, through appropriate reforms in their governance, the benefits of SOEs to the economy can be maximized.