In yet another step towards the formal revival of the International Monetary Fund (IMF) loan programme, the government is set to introduce in parliament a fresh bill for the restructuring, liquidation and privatisation of state-owned entities (SOEs).
The government has finalised the draft SOE Bill with the close coordination of the IMF, Asian Development Bank (ADB) and the World Bank to ensure better management of the SOE portfolio.
As part of the process, the government last week finalised a triage of 84 out of a total of 212 SOEs that would be prepared in the first phase of restructuring for ultimate privatisation, liquidation or retention in the public sector to meet a structural benchmark of the IMF.
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Govt to privatise 44 entities by 2025
IMF-backed report reviews 84 commercial state-owned enterprises
Moreover, the sum of losses of top-10 loss-making SOEs contributes around 90% to the total losses of SOEs portfolio each year. PHOTO: FILE
ISLAMABAD:
The International Monetary Fund (IMF)-backed first review of Pakistan’s bleeding public sector enterprises has identified 44 entities for privatisation, including the power companies that are causing big losses, despite a 50% reduction in losses in the first year of current government.
The review of 84 commercial state-owned enterprises (SOEs) has been completed as part of the structural benchmarks set by the IMF and supported by the World Bank and the Asian Development Bank (ADB), according to the “SOEs Triage: Reforms and Way Forward” report that the Ministry of Finance released on Thursday.