'Highest-ever proceeds this year to further increase'

Addressing a meeting of the Board of the Privatisation Commission here on Thursday Zahid Hamid Federal Minister for Privatisation and Investment said that privatisation proceeds had reached an all time high during the current financial year.
Up till April 2006, nine transactions had been completed for total sale price of Rs 218 billion, out of which a sum of Rs 118 billion had already been realised. Last year, 2004-05, eleven transactions were completed for a total sum of Rs 43 billion, he stated.
Zahid Hamid said that Pakistan State Oil (PSO) and National Investment Trust Limited (NITL) were also likely to be privatised before June 30, 2006, which would increase the proceeds further. All these proceeds would of course be utilised for poverty alleviation and debt retirement in accordance with law, he added.
The minister further stated that all prescribed rules, regulations and formalities would be observed and nothing would be sold in undue haste in order to ensure open, fair and transparent transactions and to maximise sale proceeds for our national assets.Zahid Hamid said that the economic reforms introduced in Pakistan by Shaukat Aziz as Finance Minister and continued by him as Prime Minister under the guidance of President Pervez Musharraf, which comprised three main pillars of Deregulation, Liberalisation and Privatisation were appreciated the world over and were cited as role models for the region at the World Economic Forum held on May 20-21 at Sharm-el-Shaikh, Egypt.
He said that the economic reforms had been institutionalised by The government through the Fiscal Responsibility and Debt Limitation Act 2005.
The minister said that the fiscal debt, which averaged nearly seven percent of GDP in the 1990s, had declined to only 3.3 percent in 2004-05. Moreover, public debt to GDP ratio had reduced from disastrous 90 to 100 percent approximately in the 1990s to 61.7 percent in 2004-05 and was expected to further reduce to under 60 percent this year, he stated.
The PC board approved the recommendations of the pre-qualification committees relating to pre-qualification of parties for the privatisation of National Investment Trust Limited (NITL), Faisalabad Electric Supply Company (FESCO) and National Power Construction Company (NPCC).
The meeting also reviewed the progress of the privatisation process of Lyallpur Chemical and Fertilisers Ltd, and Lasbella Textile Mills.
The meeting also formulated its recommendations for the Cabinet Committee on Privatisation (CCOP) regarding various ongoing entities. Shaikh Ikramullah Secretary Privatisation Commission, Members of the board of the Privatisation Commission, senior officials of the respective ministries and departments attended the meeting.