After Sindh High Court's judgement, Privatisation Commission on Tuesday conveyed to short-listed parties on telephone that they should get ready for pre-bid meeting on Pakistan State (PSO) sell-off at a short notice. The pre-bid meeting would be the second last leg as it would be quickly followed by bidding to complete the transaction.
An official of the Privatisation Commission told Business Recorder that the process for PSO sell-off has been expedited after SHC's decision. Now pre-bid was expected in the next few days. He also hinted at early bidding to complete the transaction in shortest possible time.
SHC had dismissed Attock Group's plea early this weak against its disqualification by the Privatisation Commission. Telephonic contacts indicate Privatisation Commission's strategy that the government will not spare any time to complete PSO strategic sale and get money from it that will be an additional source to narrow the current account deficit. Although Attock Group can move the Supreme Court of Pakistan (SCP) against SHC judgement.
PSO selling in the current fiscal year would ease pressure on the government forcing it for massive domestic borrowing. The State Bank of Pakistan (SBP) has already cautioned that the government policy of borrowing over and above the budgetary estimates can be problematic.
But the government has its own problems. It's facing huge current account deficit and untraditional means such as privatisation proceeds and bonds issues can help it come out of this uneasy situation.
It may be noted that Privatisation Commission consistently pursued PSO bidding process even when the case was under trial at SHC. Its officials had one strong argument to vigorously follow bidding process that the court had not issued the stay order in favour of Attock Group barring the government from proceeding further for PSO sell-off.
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