The New Economic Policy of 1991 marked a significant shift from a state-led development model to a more market-oriented one. Policies like liberalisation, privatisation, and globalisation aimed at reducing the dominant role of the public sector. Disinvestment in Public Sector Enterprises (PSEs) and opening up sectors previously reserved for the public sector to private players directly led to a decrease in the relative importance and scope of PSEs in the Indian economy.