PRIVATISATION OF 167 SOEs FETCHED US $ 9 BILLION PROCEEDS-Shahab Khawaja
 

Islamabad, May 24, 2010

Since its inception in 1991, the Privatisation Commission has so far privatised 167 State Owned Entities (SOEs) for US $ 9 billion proceeds, which were remitted to the government. Mr. Shahab Khawaja Federal Secretary Ministry of Privatisation informed the participants of 9th Mid Career Management Course and faculty members of National Institute of Management, Peshawar here today.

Mr. Khawaja informed the delegates that currently 58 SOEs approved by the Council of Common Interest (CCI) were on the Privatisation Program while 23 SOEs were being undertaken on fast track basis. The purpose of privatisation was to liberalize the economy, to make the entities efficient, increase their capacity and production and to make them profitable by involving private sector, he said.

He further stated that the government has no business to do the businesses and the loss making as well as profitable entities both were offered for privatisation in an open, fair and transparent manner. The major single largest transaction i.e. Pakistan Telecommunication Company Limited (PTCL) ‘s 26 % shares were privatised with transfer of management control in 2006, he informed.

The Federal Secretary while replying to a question said that the State has to provide level playing field to all investors and to monitor the sector wise monopolies, the government has established Competition Commission of Pakistan (CCP) and to safeguard the interests of the consumers and the common man, independent Regulatory Authorities like National Electric power Regulatory Authority (NEPRA), Oil & Gas Regulatory Authority (OGRA), Pakistan Electronic Media Regulatory Authority (PEMRA) were functioning.

Pakistan has the most successful privatisation program in South Asia, Central Asia and the Middle East as 100 SOEs in the Chemical, Textile, Nitrogen fertilizer, Cement, Rice, Roti and Light Engineering while 98 % Automobile Indistry, 96 % Ghee Mills, and 100 % units of Phosphate Fertilizers have been privatised while Banking industry privatised substantially due to which 80 % of the banking sector was under private ownership, he added.

Earlier, Advisor Privatisation Agha Waqar Javed briefed the officers regarding the “Role and Activities of Privatisation Commission.