As per the revised guidelines issued by the Finance Ministry, non-financial sector CPSEs must pay a minimum annual dividend of _____________ of their net profit or ________ of their net worth, whichever is higher. (November 2024)

Correct option is C

As per the revised guidelines issued by the Finance Ministry, non-financial sector CPSEs must pay a minimum annual dividend of 30% of their net profit or 4% of their net worth, whichever is higher.
Details-
· Financial Sector CPSEs: Entities like NBFCs are required to pay a minimum dividend of 30% of profit after tax (PAT), subject to legal provisions.
· Changes from 2016 Guidelines: Earlier, the requirement was 30% of PAT or 5% of net worth, without specific provisions for financial sector CPSEs.
· Objective: The revision aims to optimize capital restructuring while ensuring regular and higher dividend payouts from CPSEs to the government.