Lahore Chamber of Commerce and Industry has urged the government to develop a strategy for the growth of public sector enterprises (PSEs). LCCI President Abdul Basit in a statement on Friday stressed the need for focusing on loss-making public sector enterprises which drain away a huge chunk of government resources each year and burden has to bear the taxpayers.
The taxpayers are the end losers as these loss-making public sector enterprises are being run through the duties and taxes paid by them. In view of the massive loss of around Rs 600 billion annually being caused by the public sector enterprises, the government should take measures on war footing to make these institutions profitable, he added.
He said that in advanced economies like the United States, United Kingdom and Japan, the role of PSEs is minimal and the private sector is the most important instrument of socio-economic prosperity, and there is continued growth of privately-run corporations. The significance of PSEs cannot be ignored, in view of the fact that they remain the most employment-intensive and capital-intensive organisations, he maintained.
LCCI president suggested formation of a committee of experts from public and private sectors to revisit strategy and adopt methods which provide a new impetus to the PSEs. The committee should go deep into the broader political philosophy and vision under which the PSEs will be required to play their role in the new competitive environment, he averred.
The PSEs should continue to remain the backbone of the economy and therefore their revival is critical to our economic survival, he maintained. He said that greater autonomy and non interference in their functioning have to be guaranteed so that the country can fully reap the benefits of PSEs. PSEs are not only industries for short-term economic and commercial gains but are our national assets, he said and added that new growth strategy for the loss-making public sector enterprises is need of the hour therefore government should start work without any delay.