On 24th July 1991 the economic reforms revolutionized the financial policies in India and establish a liberal business environment in India to escalate the opportunity of the country to avail the key beneficiaries of globalization and make open business deals with foreign companies. The public sector enterprises faced critical challenges and competition from the private organizations in the business environment of India. on the other hand, it has brought forth higher opportunities to avail financial, resource-based, and technological support from foreign companies. The study has been performed to discuss the growth, challenges, and digital disruption in India within the public sector enterprises in post reforms in 1991. Different quantitative and statistical information has been used within the study taken from the secondary data collection process. The study has found private sector has been availing a financial edge in India and enhanced technological infrastructure in today's business environment which escalates by the new economic policy introduced in 1991.