Chairman of Privatization Commission (PC) Mr. Muhammad Zubair on Thursday said that several state-owned companies will be privatized within the coming six months. The state-owned entities mentioned included Pakistan International Airlines (PIA), Pakistan Steel Mills, Lahore and Faisalabad’s electric supply companies, State Life Insurance Corporations, Mari Gas an Kot Addu Power Company (KAPCO). Given the enormity of these entities, six months is rather short a time for privatization procedure to complete however, reportedly, 70% of the process has already been completed. The move to privatize the aforementioned companies is still delayed given the fact that the general public has been screaming to privatize certain companies, especially PIA. While addressing the participants of Pakistan Investment Conference, Chairman PC said,
Before inviting the letter of intent, transaction structure of the process would be submitted to the Cabinet Committee on Privatization for approval.
He further said that the considered state-owned companies will be shown off to potential investors in Turkey, China and Russia in order to possibly invite foreign direct investment. He added that the letter of intent for Faisalabad Electric Supply Company (FESCO) has already been sought. Privatization Commission has reportedly been working for the last 18 months to relieve these companies of state’s grasp and has been hastened on the directive of PM Nawaz.
These companies are being privatized in order to provide better service to the people of Pakistan. PIA is in desperate need for some major changes. Being the biggest airline in Pakistan, it is definitely not up to the mark and has consistently been failing. PTCL, after being privatized offered amazing services to its customers and introduced new services in the country, and even though PTCL is not performing as well as it was, its privatization certainly improved matters which is the hope for the aforementioned companies this time around as well. Pakistan has privatized over 150 state-owned entities since the concept began in the country in year 1991. Most of those companies are performing quite well. Let’s hope that it stays that way. Do you think privatization is a good move in this economy? Let us know in the comments below.You can follow us on Facebook, Twitter, or Google+ for more updates. Otherwise fill in the subscription box above, or subscribe to our RSS Feed.