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IESCO, FESCO, and GEPCO to be privatized in the first phase of the privatization plan

ISLAMABAD: The Pakistan National Assembly has received an official list of 24 state-owned enterprises slated for privatization, following approval from the Cabinet Committee on Privatization. The plan, finalized in a meeting held on August 2, 2024, outlines a three-phase strategy for the divestment of these nationalized entities.

According to the Ministry of Privatization, the timeline is as follows:

  • Phase One: Privatization within one year
  • Phase Two: Completion within one to three years
  • Phase Three: Execution within three to five years

Phase One Entities:

  • Pakistan International Airlines (PIA)
  • First Women Bank
  • House Building Finance Corporation
  • Agricultural Development Bank
  • Pakistan Engineering Company (PECO)
  • Islamabad Electric Supply Company (IESCO)
  • Gujranwala Electric Power Company (GEPCO)
  • Faisalabad Electric Supply Company (FESCO)
  • Sindh Engineering Limited

Phase Two Entities:

  • State Life Insurance Corporation
  • Pakistan Reinsurance Company
  • Central Power Generation Company
  • Jamshoro Power Company
  • Northern Power Generation Company
  • Lakhra Power Generation Company
  • Lahore Electric Supply Company (LESCO)
  • Multan Electric Power Company (MEPCO)
  • Hazara Electric Supply Company
  • Hyderabad Electric Supply Company
  • Peshawar Electric Supply Company
  • Sukkur Electric Supply Company

Phase Three Entity:

  • Postal Life Insurance Company

During a recent National Assembly session, Member Bashir Khan inquired about completed privatizations and associated revenues. In response, the Parliamentary Secretary stated that PIA’s privatization is expected to be finalized by October–November 2025.

Additionally, Defence Minister Khawaja Asif revealed that the government is pursuing a strategic alliance for PIA. Should this initiative not succeed, the government may opt to proceed with the full sale of the Roosevelt Hotel in New York, one of PIA’s major international assets.

Recent reports suggest that 25 public enterprises are currently prepared for privatization, with the Roosevelt Hotel featured prominently on the list, alongside various power generation plants and insurance companies.

Since the launch of Pakistan’s privatization programme 32 years ago, a total of 178 state-owned enterprises have been privatized, generating an estimated PKR 6.49 trillion in revenue for the national exchequer.

Written By

I am an experienced writer, analyst, and author. My exposure in English journalism spans more than 28 years. In the past, I have been working with daily The Muslim (Lahore Bureau), daily Business Recorder (Lahore/Islamabad Bureaus), Daily Times, Islamabad, daily The Nation (Lahore and Karachi). With daily The Nation, I have served as Resident Editor, Karachi. Since 2009, I have been working as a Freelance Writer/Editor for American organizations.

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