The federal government is planning to lease out Pakistan Steel Mills (PSM) for 45 years instead of privatising it according to Privatisation Commission sources.
A proposal has also been made in this regard and two companies, Iran’s representative Siddique Steel and China Bio Company’s syndicate in Lahore, are going to overview the long term lease opportunity.
Struggling with a financial crisis, PSM was given bailout packages worth Rs 38 billion in Pakistan People’s Party’s (PPP) tenure of five years.
As the liabilities kept on increasing with each year, it brought the production level to zero in last one and half years.
The payables of Steel Mills have increased to a record Rs 178 billion.
According to sources, if the board of Privatization Commission grants permission to lease out PSM for 45 years, then the proposal will be discussed in a session of Cabinet Committee on Privatisation on January 20 that will be chaired by Finance Minister Ishaq Dar.
I wish the rulers, planning commission and allied parties wake up and get rid of this white elephant. The sooner-the better.
Comments are closed.