Pakistan considers mass privatisation drive as it seeks IMF bailout

[Shahzaz ud din]

Aik Aag Ka Dariya Hay Aur Doob Ker Jana Hay - Asad Umer Special - Dunya Kamran Khan Ke Sath

The source he provided is this

https://www.facebook.com/video.php?v=970322596480328

Can you please post the contents of the news because I have not subscribed to FT and I'm sure the contents have been changed maliciously.


You have purposefully distorted the contents of the news. Why your source leads to a facebook page with a static image? false flagger..

 

[war&peace]

Furthermore, putting these companies away from govt controls in no way means privatisation rather state-owned autonomous corporations with financial autonomy.

 

[Shahzaz ud din]

The source he provided is this

https://www.facebook.com/video.php?v=970322596480328

Can you please post the contents of the news because I have not subscribed to FT and I'm sure the contents have been changed maliciously.


You have purposefully distorted the contents of the news. Why your source leads to a facebook page with a static image? false flagger..

Hello !!! PDF members .Can you guys help me to make a "BATTI" of this Financial Times article.I want to infuse this in the gaand of this asshole WAR & PEACE for instant relief.

 

[war&peace]

Most of these 'companies' are losing billions of rupees. Would you buy any of these companies to lose money? Would you? As things stand you would not get a penny for them.

Basically these companies will be given autonomy and meritorious people will be hired. PIA has a lot of appointments ....way more than any international standards and all of them are political workers of PPP and PMLn. They are not qualified. Furthermore, this govt of Shahid Khaqan Abasi sold out most of the profitable routes to foreign airlines like Turkish airline and some Arab airlines...then they hired a stinky German CEO to destroy it. Who just stole a whole airliner..
So all you need is to kick these corrupt and incompetent aholes. And this has been discussed in detail in PTI's meetings so there is no plan to privatise it like that rather turn into profitable and successful airliner. IK has time and again told the story about the successful past of PIA in 1960s.
So even if this was a real article from FT... it is wrong and misleading.
PIA and PSM can easily be turned profitable and it has been done a few times.

 

[Bilal Khan (Quwa)]

The source he provided is this

https://www.facebook.com/video.php?v=970322596480328

Can you please post the contents of the news because I have not subscribed to FT and I'm sure the contents have been changed maliciously.

I checked, it's word-for-word the same. I can't copy-paste it now because after closing the link the first time, I'm asked to subscribe.

 

[war&peace]

now you have really upset him read this to learn about the fate of your PDF account:
https://defence.pk/pdf/threads/geert-wilders-message-for-europe.570801/page-2#post-10683676
by tomorrow we are both likely gonna be banned

after removing FT cookies, I can get to it repeatedly via google search page here @ https://www.google.com/search?q=Pakistan+considers+mass+privatisation+drive+as+it+seeks+IMF+bailout

@DANCING GIRL has nothing to fear from me... I will rather be supportive of him.

 

[BetterPakistan]

I watched the show and he did not deny it, he instead said they will concentrate on making them profitable first before privatizing because privatizing is not as easy as you'd think

Mr Pseudo economist

There is no news about privatization as of now. And last day on Kamran Khan show Asad Umar said:-

"Hum inko welfare fund kai hawalai karaingy, the same which was done by Mahatir Mohammad and Singapore leader. And further he said that privatization is not possible and it would be discussed later but not now"

So sastai economist, where do he mentions privatizing of any state owned institution?

I remember you told me that Imran Khan won't become PM hence opposition parties would make their own PM so do you stand on that pathetic stance of yours now??

 

[Imran Khan]

sale first railway pia and pak steel then we can save 2bn$ per year

 

[RoadRunner401]

Most of these 'companies' are losing billions of rupees. Would you buy any of these companies to lose money? Would you? As things stand you would not get a penny for them.

OK, then why keep them open?

 

[Indus Pakistan]

I think every utility, public entities like PIA need selling but cannot be sold right now because of the loss they are making. This idea of bringing in private sector professional and setting up 'wealth fund' sounds good. But as soon as these companies/utilities are standing up they should be sold without any fuss or delay. Political government have limited time leases. You don't want ever to see another political government using these companies to use as their patronage bank. Or else how do you know the next elected government might again start using these companies?

But a word or two about this. It's not going to be easy. In UK back in early 1980s we had the same situation. The public sector was bloated. Telephone, water, electricity, rail, airline, gas and car manufacturing. These companies just like Pakistan now had too many workers, who were lazy, offered poor public service and acted like these companies were there to look after their interests. Non followed modern business practices and there was little incentive to innovate or use the latest technology. To cap it all they all were making billions if pounds in losses.

All of these entities/companies were dominated by trade unions which acted like mafia. If any attempt was made to improve these public sector organisations they would either go on strike and go slow sending the entire country into chaos. No electricity [load shedding] as electrcity company workers all went on strike. BLC which made cars would see all plants shut down. British Airways flights cancelled all planes parked on runways. Under such pressure the governments inevitabky buckled to pressure and accepted their demands.

Then came Margaret Thatcher. The 'Iron Lady'. After a decade long battle British Airways was profitable and private. Telephone was sold and now is one of the most succesful companies called British Telecom. Gas, water were privatized. Almost every sector owned by government was sold. Today UK government fingerprint is almost non existent and only deals with essential core services like police, health etc.

To give you a example in my lifetime I remember as a teenager preparing for exams in late 1970s and studying under the glow of a wax candle burning away with that noxious smell because electricty supply was cut off. We were in stoneage while the workers of the electric utility company went on strike for a week. I also recall how when we moved house my dad told me to go to the phone company which then was part of Royal Mail [Post Office] to request for service. When I went there it had long queue and had to wait for over a hour to finally be seen by a grumpy clerk who acted like he was doing me a favour. It took 4 weeks for the line to be connected. 4 weeks.

Today there are multitude of private phone companies - the privatized British Telecom is still there but now they are begging for customers and not the other way around. The last time we lost supply to the electric grid was over 35 years ago.

So it is possible but it will take a long fight that will require lots of political capital to fight and change the rotten status quo which of course will use every method to retain it's monopoly and perks/privilages. I hope Asad Umar all the best. He has some serious work cut out for him.

 

[Novice09]

None of the Pakistani government entities can be privatised in current economic situation...

No body will pay for them...

Want an example... just search for privatisation of Air India...

 

[Sine Nomine]

sale first railway pia and pak steel then we can save 2bn$ per year

Haha o sottey qoum,yeah idarey oney poney damo bikey gai.

 

[xyxmt]

sale first railway pia and pak steel then we can save 2bn$ per year

If Imran is as chutya as his PDF supporter then he would rather pay 2 bn and keep "Our Assets"

 

[war&peace]

I think every utility, public entities like PIA need selling but cannot be sold right now because of the loss they are making. This idea of bringing in private sector professional and setting up 'wealth fund' sounds good. But as soon as these companies/utilities are standing up they should be sold without any fuss or delay. Political government have limited time leases. You don't want ever to see another political government using these companies to use as their patronage bank. Or else how do you know the next elected government might again start using these companies?

But a word or two about this. It's not going to be easy. In UK back in early 1980s we had the same situation. The public sector was bloated. Telephone, water, electricity, rail, airline, gas and car manufacturing. These companies just like Pakistan now had too many workers, who were lazy, offered poor public service and acted like these companies were there to look after their interests. Non followed modern business practices and there was little incentive to innovate or use the latest technology. To cap it all they all were making billions if pounds in losses.

All of these entities/companies were dominated by trade unions which acted like mafia. If any attempt was made to improve these public sector organisations they would either go on strike and go slow sending the entire country into chaos. No electricity [load shedding] as electrcity company workers all went on strike. BLC which made cars would see all plants shut down. British Airways flights cancelled all planes parked on runways. Under such pressure the governments inevitabky buckled to pressure and accepted their demands.

Then came Margaret Thatcher. The 'Iron Lady'. After a decade long battle British Airways was profitable and private. Telephone was sold and now is one of the most succesful companies called British Telecom. Gas, water were privatized. Almost every sector owned by government was sold. Today UK government fingerprint is almost non existent and only deals with essential core services like police, health etc.

To give you a example in my lifetime I remember as a teenager preparing for exams in late 1970s and studying under the glow of a wax candle burning away with that noxious smell because electricty supply was cut off. We were in stoneage while the workers of the electric utility company went on strike for a week. I also recall how when we moved house my dad told me to go to the phone company which then was part of Royal Mail [Post Office] to request for service. When I went there it had long queue and had to wait for over a hour to finally be seen by a grumpy clerk who acted like he was doing me a favour. It took 4 weeks for the line to be connected. 4 weeks.

Today there are multitude of private phone companies - the privatized British Telecom is still there but now they are begging for customers and not the other way around. The last time we lost supply to the electric grid was over 35 years ago.

So it is possible but it will take a long fight that will require lots of political capital to fight and change the rotten status quo which of course will use every method to retain it's monopoly and perks/privilages. I hope Asad Umar all the best. He has some serious work cut out for him.

In modern times, govts normally do not operate any companies that can be commercialised so in that sense PIA and even PSM should be privatised. But Pakistan has a particular situation. I would rather say that GoP should make these totally autonomous and keep 51% shares to own them but all decisions are made by the CEO and board of directors and if the company goes in loss after making it profitable, then it has follow all the rules applied on any private company i.e. no govt funded bail out packages..

 

[cloud4000]

India cannot even privatize Air India because of its huge debt. No one is going to buy a state-owned enterprise loaded with debt. If the goal is privatization then the debt issue needs to be dealt with before it can be sold. My guess would be that the government would have to pay it all of before selling the asset.

I think treating them as autonomous institution is a great idea but this requires a multi-billion infusion of capital to give them a firm financial footing. This will also require shedding thousands of unnecessary jobs. You not only have to think about severance but also the political repercussion of such a decision.