NATIONAL STEEL POLICY 2017 AND THE INDIAN STEEL SECTOR: A FINANCIAL IMPACT ANALYSIS
DOI:
https://doi.org/10.29121/shodhkosh.v5.i1.2024.5997Keywords:
Financial, National Steel Policy 2017, AnalysisAbstract [English]
This study examines the influence of the National Steel Policy 2017 on the financial performance of steel companies in India using a set of important financial ratios. The study uses paired sample t-tests on data to compare during five years before and after the regulation was implemented. The findings show that crucial financial measures such as Return on Assets, Return on Capital Employed, Earnings Per Share, Debt Service Coverage Ratio, and Debtor Turnover Ratio have all improved significantly. These findings imply that policy has had a beneficial impact on the sector's profitability, financial efficiency, and debt management. Other metrics, such as operating profit margin, net profit margin, inventory turnover ratio, creditor turnover ratio, and proprietary ratio, improved numerically but no statistical impact can be established. The analysis indicates that, while NSP 2017 had a significant influence on certain financial aspects, future policies should employ more targeted tactics to create larger, more consistent improvements throughout the industry.
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