Equity for privatisation should be raised through stock exchanges: Zardari

SBP governor requested to prepare plan for turnaround of Pakistan Railways.

ISLAMABAD: President Asif Zardari has advised the government that while adopting a public-private partnership (PPP) model for the privatisation of state-owned enterprises, efforts should be made to raise bulk of the equity through stock exchanges to create wealth for the masses and small investors.

The purpose of adopting the PPP model was to blend national assets with private capital and entrepreneurship in a manner that optimised the use of national assets on the one hand and protected the interests of consumers, workers and investors on the other.

He said this during a meeting on privatisation proposals at the President’s House on Monday which was jointly chaired by President Zardari and Prime Minister Yousaf Raza Gilani.

The meeting deliberated upon various proposals to rejuvenate state-owned entities and to take government’s economic reforms agenda forward through privatisation. Various proposals for the turnaround of loss-making state units through restructuring and financial and operational reforms were also discussed.

The policies of privatisation, deregulation and liberalisation were aimed at economic recovery by enabling the private sector take a leading role for the rejuvenation of the ailing economy, said the president.

The meeting requested the governor of the central bank to prepare a plan for the restructuring and turnaround of Pakistan Railways for the consideration of the cabinet.

The meeting was attended by Federal Minister for Privatisation Waqar Ahmed Khan, Federal Minister for Water and Power Raja Pervaiz Ashraf, Federal Minister for Information and Broadcasting Qamar Zaman Kaira, Minister for Railways Ghulam Ahmad Bilour, Secretary General to the President Salman Faruqui, State Bank of Pakistan Governor Shahid Hafeez Kardar, secretaries of the finance and privatisation ministries and the spokesperson for the president amongst other officials.

Published in The Express Tribune, November 23^rd, 2010.