India needs to guard against a risk of PSUs being captured by managers
2010-01-30 19:22 -Over the years, the size of the public sector has increased and currently, there are 473 central PSUs including banks and insurance companies. Out of these, 104 are listed and 369 unlisted; while at the State level there are 1160 State PSUs. It is estimated by informed financial analysts that the valuation of the central PSUs on P/E basis for the listed companies and P/B basis for the unlisted companies is now placed at $ 450-$500 billion dollars or 40-45% of country's GDP.