In a significant development, the Cabinet Committee on Privatisation (CCOP) has given the green light to privatize 24 major government institutions over the next five years, following a phased approach.
Chaired by Deputy Prime Minister and Foreign Minister Mohammad Ishaq Dar, the committee reviewed a Privatisation Programme (2024-29) presented by the Ministry of Privatisation, based on PC Board recommendations.
The meeting, attended by key members including Finance Minister Muhammad Aurangzeb, Commerce Minister Jam Kamal Khan, Privatisation Minister Abdul Aleem Khan, Industries and Production Minister Rana Tanveer Hussain, Governor State Bank of Pakistan Jameel Ahmed, and SECP Chairman Akif Saeed, along with federal secretaries, aimed to boost efficiency and reduce the government’s financial burden by offloading state-owned institutions to private investors.
Top priority was given to privatizing Pakistan International Airlines (PIA), followed by entities like Utility Stores Corporation, Agricultural Development Bank, and several power distribution companies. Other institutions on the list include Genco One, Genco Two, Genco Three, Genco Four, Roosevelt Hotel Corporation Limited, Pakistan Reinsurance Company Limited, First Women Bank Limited, House Building Finance Corporation, and Pakistan Engineering Company.
The phased privatization process will involve consultations with relevant ministries to ensure a smooth transition. Additionally, discussions are underway to finalize the comprehensive privatization program in the next meeting.
Meanwhile, 40 strategic or essential institutions are under review, with the Cabinet Committee for Government-Owned Institutions set to decide their fate.
The committee directed the Ministry of Privatisation to discuss the rationale for not including 18 SOEs with the respective ministries, and proposals for each will be submitted to CCOP in the next meeting.
The privatization initiative aims to generate significant revenue for the government, which will be used to pay off debts and fund development projects, ultimately boosting the country’s economic health by fostering private sector growth and competition.
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