ISLAMABAD: The federal government has decided to shut down utility stores across Pakistan due to financial constraints, Industry and Production Ministry Secretary Saif Anjum told senate committee.
Saif Anjum briefed the Senate Standing Committee on the decision and presented proposals to the panel toshut down utility stores. The proposals, prepared by the rightsizing Committee, include shutting down utility stores and other entities to reduce expenses.
According to sources, the federal government lacks funds to operate the stores, leading to the decision to close them down.
The committee was informed that the government is facing financial difficulties and must take measures to reduce expenses.
The cabinet secretary will approve the closure plan, which will then be presented to the cabinet for final approval.
Once approved, a timeline will be established for the closure of the utility stores across the country.
The rightsizing committee has also proposed the closure of other entities, which will be approved by the cabinet, he told Senate panel.
The decision to close utility store is part of the government’s efforts to reduce expenses and address financial limitations.
Earlier, Pakistan government has ‘okayed’ 5-year privatisation program. The decision was taken by the federal cabinet in a meeting held here in Islamabad, the sources said and added that the five-year privatisation program will be completed in three phases.
In the first phase, privatisation of Pakistan International Airlines (PIA), House Building Finance Corporation (HBFC), Faisalabad Electric Supply Company, Islamabad Electric Supply Company and Gujranwala Electric Supply company will be privatisaed.
Later, LESCO, MEPCO, PESCO, HESCO, SEPCO, HESCO, Utility Stores Corporation, State Life Insurance Corporation and Pakistan re-Insurance Comapny will be privaitsed, the sources said.
