„All state-owned enterprises in Pakistan, except strategic ones, will be subject to privatization. The government's job is not to do business, but to provide an enabling environment for business and investment,“ said Pakistan Prime Minister Shahbaz Sharif.
According to the Prime Minister, the privatization of enterprises, including energy distribution companies, will be carried out as a priority and accelerated within the framework of the government program for the period 2024-2029. “State enterprises will be privatized, regardless of whether are profitable or unprofitable“, emphasized Sharif.
The prime minister announced the privatization of state-owned enterprises after talks began in Islamabad on May 13 with an International Monetary Fund (IMF) review mission on the size and timing of a new financial assistance package for Pakistan under the Facility medium-term extended financing.
Pakistan plans to receive USD 6-8 billion from the IMF's Resilience and Sustainable Development Facility, which provides affordable long-term financing to countries that undertake reforms to reduce risks and for the future stability of the balance of payments. The conditions for the provision of such assistance are, in particular, the extended privatization of state-owned enterprises as part of economic restructuring, an increase in electricity tariffs and an increase in tax revenues.