2 minutes of readingBombayFebruary 4, 2026 12:16 am IST
Of the 101 state public sector enterprises (SPSEs) in Maharashtra, 45 are loss-making while nine have no profit or loss for the year 2022-23. According to the 16th report of the Finance Commission for 2026-2031, only 47 SPSEs in the state are making profits.
According to the report, infrastructure sector SPSEs lead the loss-making units, followed by energy and manufacturing. The infrastructure sector includes construction, urban development, etc., while the manufacturing sector includes chemicals, power looms and paper, etc.
Among the SPSEs generating the highest profits in Maharashtra are agriculture and allied, followed by financial and miscellaneous. Various comprises textbook publishing, governance/leadership institutes for backward populations, regional development corporations, etc., while the financial sector comprises finance, credit and investment corporations, financial services, etc.
The report states that as on March 31, 2023, there were 1,635 SPSEs in India. Government undertakings (GCs), in which the state government’s share in the paid-up capital is 51 per cent or more, account for the largest proportion of SPSEs. Of the total number, 1,414 SPSE (86.5 percent) are GCs. Among the SPSEs there are 135 government-controlled other companies (GCOCs) and 86 statutory corporations.
Commenting on the national picture, the report states: “Profit is a crucial indicator of a company’s financial sustainability. According to the latest available data, nearly 50 per cent of SPSEs (541 of 1,107 SPSEs for which profit/loss data is available) across states have losses or zero net profits. This statistic highlights the highly fragile financial condition of SPSEs.”
He added: “One of the main problems related to SPSEs is the large number of non-operational or inactive companies. While there are some differences in how SPSEs are classified as ‘inactive’ in the audit reports of various states, in general, inactive SPSEs can be described as those that have ceased operations.”
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