Pakistan’s Plan: Privatize or Shut Down Companies, Says PM Shehbaz Sharif
Islamabad [Pakistan], September 29: The cash-strapped federal government of Pakistan, led by Prime Minister Shehbaz Sharif, is prioritizing the privatization of multiple institutions. If privatization fails, the government may shut them down.
Privatization Targets
The Ministry of Privatization and Industry has identified several institutions for privatization, including:
- Pakistan Stone Development Company
- Pakistan Automobile Corporation
- Pakistan Institute of Management
- Khadi Crafts Development Company
- Agro-Food Processing Company
- Leather Crafts Development Company
- Morafik Industries
- Southern Punjab Embroidery Industry
- Gujranwala Business Center
- Pakistan Chemical and Energy Sector Skills Development Company
- Spin Yarn Research and Development Company
Pakistan International Airlines (PIA)
Privatisation Commission Secretary Usman Akhtar Bajwa announced that the privatization process of the debt-ridden Pakistan International Airlines (PIA) will be completed by October 1. PIA’s deficit has reached PKR 500 billion. Six companies have been finalized for the PIA bid: Fly Jinnah, Air Blue, Arif Habib Corporation, YB Holdings, Pak Ethanol, and Blue World City.
Petroleum Division
On August 22, the federal cabinet approved the privatization of two departments under the Petroleum Division: Pakistan Mineral Development Corporation and Saindak Metals Limited (SML). ENAR Petrotech Services Pvt Ltd will be dissolved as part of this process. The government is yet to decide on the fate of other departments under the Petroleum Division, including Pakistan State Oil (PSO), Pak-Arab Refinery Limited, and the Sui Gas Companies.
Doubts Revealed
Privatize -: Privatize means to sell government-owned companies to private owners. This is done to make the companies more efficient and to get money for the government.
Prime Minister -: The Prime Minister is the head of the government in a country. In Pakistan, the Prime Minister is Shehbaz Sharif.
Pakistan Stone Development Company -: This is a company in Pakistan that works with stones and minerals. It helps in developing the stone industry in the country.
Pakistan Automobile Corporation -: This is a company in Pakistan that deals with making and selling vehicles like cars and trucks.
Pakistan International Airlines (PIA) -: PIA is the national airline of Pakistan. It flies people and goods to different places around the world.
Petroleum Division -: This is a part of the government that deals with oil and gas. It manages how these resources are used and sold.
