NO SALE OF PR-PSM-PIA-USC-PEPCO- Senator Waqar Ahmed Khan
 

Islamabad, July 19, 2010

Speaking at a joint meeting of UK Pakistan Chamber of Commerce and industry (UKPCCI) and Pakistan Press Club at London the Federal Minister for Privatisation Senator Waqar Ahmed Khan said that the core assets such as Pakistan Railways, PIA, Pakistan Steel Mills, Pakistan Utility Stores Corporation and PEPCO would not be sold, however, at the same time the government was taking steps to reorganize its core assets and turn them into profitable entities, says a message received here today from UK.

Senator Waqar termed these organizations as a great burden on national exchequer. Actually they cause a hemorrhage in the balance sheet to the tune of about $ 3 billon to 3.5 billion per year, which was not a small amount. Pakistan Railways had been working without a balance sheet that has led to its inefficiency and losses to the state amounting to billion of rupees, he added.

“We have instead embarked upon a policy to re-shape these organizations by bringing in people with sound background and knowledge for running them in a profitable manner” he said.

The Minister said that the government was taking steps to launch convertible bonds to generate liquidity and to rely on its own resources. He further said that the government was aware of he huge fiscal deficit facing the country and has taken steps to reduce it in a gradual manner.

The Minister said that the government was thinking of innovative ways to create liquidity and be self-sustained. He was of the view that the government should be in the business of making policies and not running the businesses. The government job was to make policies that were conducive and supportive of the private sector business development process, he stated.

Earlier, UKPCCI President Naheed Randhawa said that the privatisation was the only way forward to put all sick industries back on track. He urged the government to make transparent recruitment policies and bring in really qualified people for running these State-Owned Enterprises (SOEs).