LAHORE – Federal Finance Minister Muhammad Aurangzeb has said that privatisation of state-owned enterprises was necessary for achieving economic stability.
Speaking at a Pre-Budget Conference organized by the Federation of Pakistan Chambers of Commerce and Industry (FPCCI) at a local hotel on Sunday, he said that there was no concept of strategic SOEs. Deputy Prime Minister Ishaq Dar has made it clear that the government will only deal with the strategic and essential SOEs. He made these remarks while chairing a meeting of the Cabinet Committee on Privatisation.
The Finance Minister said that the energy, the tax-to-GDP ratio, and the privatization of SOEs were priorities of the government. He said the government functionaries were on the same page and all these should be taken by the private sector as there was no such thing as strategic SOEs. He said that privatization would be accelerated through a public-private partnership model. He revealed that the formal discussion with the International Monetary Fund (IMF) will commence in the federal capital tomorrow. He said that the tax base would be enhanced by digitising the tax collection authority. He stressed the need to integrate the unofficial sector of the economy into the legitimate sector.
Muhammad Aurangzeb said that enforcement of laws, rules, and regulations was necessary. He said that the government was advancing the Track and Trace system. He highlighted improved economic indicators including the reduced current account deficit (CAD) of less than $1 billion, a decrease in inflation and all-time high stock exchange levels. He said that there was a need to curb the menace of electricity theft in the country. He said that the government was making necessary changes in the boards of the distribution companies. He promised to take the private sector on board in this regard.
