• Ashit Das

Abstract: This study examines the critical role of Public Sector Enterprises (PSEs) in economic growth, emphasizing the overlooked impact of strategic financial management in underperforming government entities. Focusing on Indian PSEs, it highlights the need for efficient working capital management to balance liabilities and assets effectively. Analyzing eight Maharatna and sixteen Nabaratna enterprises from 2010 to 2019 using Hrishikesh Bhattacharya’s Index approach, the study evaluates their financial stability through key metrics: Performance Index (PIWCM), Utilization Index (UIWCM), Efficiency Index (EIWCM), and Potential Growth Rate (G). Findings reveal inefficient working capital strategies in government-owned businesses, causing stagnation rather than growth. While well-managed enterprises adapt and thrive, weaker ones struggle due to financial misalignment, impacting markets and prompting businesses to seek innovative solutions. The study underscores the role of policymakers and managers in appointing competent leaders to ensure effective financial oversight. Strengthening working capital management is vital for economic sustainability, demanding greater strategic focus in national economic planning.

Key words: Working fund, Performance Index, Utilization Index, Effeciency Index, Potential growth

" “MEASURING THE EFFECTIVENESS OF WORKING FUND UTILIZATION & POTENTIAL GROWTH OF INDIAN PSEs In PRE-COVID PERIOD ”.", International Journal of Emerging Technologies and Innovative Research (www.jetir.org), ISSN:2349-5162, Vol.12, Issue 2, page no.a105-a113, February-2025, Available :http://www.jetir.org/papers/JETIR2502015.pdf

" “MEASURING THE EFFECTIVENESS OF WORKING FUND UTILIZATION & POTENTIAL GROWTH OF INDIAN PSEs In PRE-COVID PERIOD ”.", International Journal of Emerging Technologies and Innovative Research (www.jetir.org | UGC and issn Approved), ISSN:2349-5162, Vol.12, Issue 2, page no. ppa105-a113, February-2025, Available at : http://www.jetir.org/papers/JETIR2502015.pdf