NEW DELHI: With the revival of economic activities after Covid cases subsided, the central public sector enterprises (CPSEs) registered improvement in their profitability in the financial year ending March 31, FY 22.
As per finance ministry sources, Centre received Rs 59,100 crore dividend from CPSEs in FY 22, Rs 13,100 crore more than the revised estimates of Rs 46,000 crore. This is the second straight year when the Centre’s dividend receipts stood higher than the revised budget estimates. In FY21, the government had received Rs 39,022 crore from CPSEs, more than the revised budget estimate of Rs 34,717 crore.
Dividends and profits from CPSEs are important sources of income for the Centre, which come under the non-tax revenue category. According to the rules, CPSEs need to pay 30% of post-tax profit or 5%of net worth, whichever is higher, as a dividend every year to the government.