ISLAMABAD: Minister of State for Privatization Mohammad Zubair has said that the divestment of United Bank Limited (UBL) shares has been termed the year’s best transaction and an international financial magazine ‘The Asset’ has nominated it for its award.
He revealed this while addressing a press conference. The minister said that Pakistan Tehreek-e-Insaf (PTI) had published a white paper criticising government’s transaction of UBL shares but international financial institutions and magazines were praising the government’s economic policies.
Muhammad Zubair, also Chairman of Privatisation Commission, said that the government had not yet decided to sell 26 per cent shares of Pakistan International Airlines (PIA).
Earlier OGDCL disinvestment of 10% shares worth Rs 67.o6 billion was postponed few days ago, now sale of worth $4b State Owned Enterprises (SOEs) including 26% shares of PIA has been delayed.
“The government is yet to decide how much shares will be sold,” he said, adding that any decision will be taken in the interest of the country and the economy. He said the sale of government shares in the Allied Bank Limited (ABL) would be completed by Dec and in the case of Habib Bank by March next year. The commission has appointed lead managers and book runners for divesting the government’s residual shares in the ABL.
He said the privatisation process was proceeding successfully and better results would be achieved in the coming transactions. The divestment of 10 per cent of government shares worth Rs 67.06 billion in the OGDCL will be reinitiated at an appropriate time.
The government has thrice missed the deadline to sell minimum 26% shares along with the management control and has set a fresh deadline of October next year to complete the deal. Under the $6.7-billion International Monetary Fund (IMF) programme, the government is bound to sell 26% shares of the PIA to a strategic investor. But it is facing resistance from opposition parties, particularly the Pakistan Peoples Party, which is opposed to the privatisation of PIA and Pakistan Steel Mills.
