Govt keeps three key enterprises under public control

The government has decided to retain three key state-owned enterprises (SOEs) under its control.

In a meeting on Monday, the Cabinet Committee on State-Owned Enterprises, chaired by Finance Minister Muhammad Aurangzeb, declared the Trading Corporation of Pakistan (TCP), the Small and Medium Enterprise Development Authority (Smeda) and the Pakistan National Shipping Corporation (PNSC) as “essential SOEs.”

The decision to keep these enterprises in the public sector highlights their importance in executing government policies. The TCP is crucial for market stabilization, Smeda supports the backbone of the economy—small and medium enterprises—and PNSC plays a vital role in the nation’s maritime affairs.

These entities are considered too critical to be privatized or managed by the private sector due to their roles in national development and economic stability.

The government’s move aligns with the SOEs Policy 2023, categorizing enterprises based on their strategic importance.

By retaining these entities, the government aims to ensure they continue serving national interests effectively. The policy also requires that the government explore transformation options like outsourcing or management transfer, with safeguards in place to protect these essential services.

Future plans and board appointments

The committee also discussed the financial restructuring of these enterprises and made key appointments to the boards of EXIM Bank of Pakistan and Karachi Port Trust. These steps are part of a broader strategy to strengthen the governance and performance of essential SOEs.

This strategic move by the government is expected to stabilize critical sectors and support long-term economic growth, ensuring that these vital enterprises remain in capable hands.