Published Paper Details:

This research paper explores the evolution of public sector financial management in India, analyzing the impact of economic reforms since the 1991 liberalization. It highlights key challenges faced by the public sector, including fiscal deficits, inefficiencies in public sector undertakings (PSUs), and revenue mobilization, while examining the achievements made in fiscal consolidation, improved operational performance, and enhanced transparency through technological interventions. The paper provides a detailed overview of the strategic reforms, including the introduction of the Fiscal Responsibility and Budget Management (FRBM) Act, disinvestment policies, and the establishment of systems like the Public Financial Management System (PFMS). Numerical data reveals the progress made in reducing the fiscal deficit, increasing PSU contributions to GDP, and improving tax-to-GDP ratios. The paper also discusses policy recommendations to address existing gaps, such as expanding the tax base, enhancing technology use, and restructuring loss-making PSUs. By drawing on a wide range of academic sources and government reports, this paper offers a comprehensive assessment of the public sector's role in India's economic development. The research emphasizes the importance of sustaining these reforms while addressing emerging challenges for long-term fiscal stability and inclusive growth.