On February 1, 2026, Finance Minister Nirmala Sitharaman presented the Union Budget and announced plans to restructure two major state-run non-banking financial companies (NBFCs): Power Finance Corporation (PFC) and Rural Electrification Corporation (REC). She said this move aims to "achieve scale and improve efficiencies in public sector non-banking financial companies." The restructuring is part of the government's larger goal for a 'Viksit Bharat', focusing on better credit disbursement and adoption of new technology. PFC and REC are important 'Maharatna' NBFCs under the Ministry of Power. They provide long-term loans and financing crucial to India’s power sector growth.