ISLAMABAD: The Cabinet Committee on Privatisation (CCoP) is scheduled to meet Thursday (Dec 24) to finalise transaction structure for the Pakistan Steel Mills (PSM).
The Minister for Finance and Revenue will chair the meeting having one agenda item, ie, transaction structure for the PSM.
Naveed Qamar, convener sub-committee of the Public Accounts Committee (PAC) claimed that the federal government was planning to close the PSM in proposed transaction structure for the mill.
The acting managing director Sui Southern Gas Company (SSGC) informed the committee that under the government strategy, the company is curtailing the gas supply to the PSM.
On Wednesday, Federal Minister for Privatisation Mohammed Mian Soomro was briefed about the matters relating to the PSM.
He was informed that the transaction structure which was approved by the PC Board is being presented to the CCOP before its final approval from the Cabinet.
The Minister Privatisation stated that the government is earnestly working for the revival of the PSMC, through the induction of capital and technology, thus, bringing the entity to operate at its full production capacity.
He chaired a privatisation progress review meeting in the ministry.
The federal minister was briefed about the progress regarding various PSEs to be privatised in the current fiscal year, and which have also been made part of the Performance Agreement of the Division.
The federal minister stated that privatisation is a major part of the current government’s economic reforms agenda, and urged all concerned to expedite the resolution of issues which might hinder the timely completion of these transactions.
He informed the participants that the focus through privatisation is multi-pronged; it is not only profit-incentive but also to bring more efficiency in various public sector entities, and create employment, debt reduction, and poverty alleviation.
The entities that were discussed in the meeting are included in the active privatisation list, and most of them are at advanced stages of privatisation.
These entities include: Services International Hotel, SME Bank, House Building Finance Corporation (HBFCL), Convention Center and the NPPMCL, etc.
Final bids (and response) are linked to market conditions.
Copyright Business Recorder, 2020
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