Ministry of Finance in Pakistan faces scrutiny over privatisation decisions

The Ministry of Finance in Pakistan has been under scrutiny for not revealing the status of privatisation for 45 state-owned entities, despite calls from the Prime Minister for transparency. Various ministries have sought decisions from the Cabinet Committee on State-Owned Enterprises (CCoSOEs) on whether to privatise, retain, or restructure these entities. The majority of these entities are slated for privatisation, including both profitable and loss-making ones.

Among the entities under consideration are the Oil and Gas Development Company, a highly profitable entity, and the Quetta Electric Supply Company, a significant loss-making entity. The Power Division initially proposed privatising 13 entities, but the committee decided to privatise nearly 16, with two undergoing restructuring first. Notable entities approved for privatisation include FESCO, GEPCO, and HESCO, among others.

The committee also recommended retaining certain functions of the Export Processing Zone Authority and restructuring the Small and Medium Enterprises Development Authority. In the petroleum sector, the committee approved the privatisation of Saindak Metals Limited and Pakistan Mineral Development Corporation, with further discussions planned for other entities.

The Ministry of Overseas Pakistanis owns three entities, with suggestions for private sector involvement in their functions. However, the ministry has recommended retaining these entities in the public sector. Overall, the privatisation decisions made by the committee reflect a significant shift in the ownership and management of key state-owned entities.

The privatisation plans for state-owned entities in Pakistan signal a major transformation in the country's economic landscape. With a focus on transparency and efficiency, these decisions aim to enhance the performance and accountability of key entities, paving the way for potential growth and development in various sectors.