In an important move, the Cabinet Committee on Privatisation (CCOP) has given in-principle approval to privatize 24 major government institutions in a phased manner over the next five years.

The committee, which met here under the chair of Deputy Prime Minister and Foreign Minister Mohammad Ishaq Dar, was presented with a phased Privatisation Programme (2024-29) by the Ministry of Privatisation, based on the recommendations of PC Board.

The meeting was also attended by other committee members including the Minister for Finance Muhammad Aurangzeb, Minister for Commerce Jam Kamal Khan, Minister for Privatisation Abdul Aleem Khan, Minister for Industries and Production Rana Tanveer Hussain, Governor State Bank of Pakistan Jameel Ahmed, SECP Chairman Akif Saeed besides federal secretaries of various ministries and division.

The committee has approved a comprehensive privatization program, which will be finalized in the next meeting. The program aims to offload state-owned institutions to private investors, aiming to boost efficiency and reduce the financial burden on the government.

During the meeting, Pakistan International Airlines (PIA) has been given top priority, followed by other state-owned entities such as Utility Stores Corporation, Agricultural Development Bank, and several power distribution companies.

Other institutions slated for privatization 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 consultation with relevant ministries, ensuring a smooth transition. Furthermore, preparations are underway to finalize the comprehensive privatization program in the upcoming meeting.

Meanwhile, an additional 40 strategic or essential institutions are under review, with their fate to be determined by the Cabinet Committee for Government-Owned Institutions.

The committee also directed Ministry of Privatisation to deliberate the rationale provided by respective ministries for not including 18 SOEs in consultation with them and firmed up proposals regarding each shall be submitted to CCOP in its next meeting.

The privatization drive is expected to generate significant revenue for the government, which will be used to pay off debts and fund development projects. The move is also expected to improve the overall economic health of the country by promoting private sector growth and competition.