Beat sectoral returns by 5 percentage points annually, PSUs told

PSUs have also been told that the dividend distributed by them would also be considered to evaluate their performance on this parameter

The Centre has asked public sector undertakings (PSUs) to increase their share price by over 5 percentage points annually over and above the BSE sectoral index. The move is an effort to improve PSUs market capitalisation. 

The criterion has been included in the Memorandum of Undertaking (MoU) that the government signs with the PSUs under the parameter on market cap improvement. The improvement in PSUs share price will be evaluated based on the annual average.

According to the evaluation guidelines shared with PSUs, daily movement in market capitalisation based on the closing price of their shares will be compared with