News Detail
Event Title: Senator Dr. Afnan Ullah Khan, Chairman Senate Standing Committee on Privatization presiding over a meeting of the committee at Parliament Lodges Islamabad.
Event Date: 2025-07-22
A meeting of the Senate Standing Committee on Privatization was held under the chairmanship of Senator Dr. Afnan Ullah Khan. The meeting was attended by Senators Zeeshan Khanzada, Bilal Ahmed Khan, Nadeem Ahmed Bhutto, Mohsin Aziz and other officials from Ministry from Privatization, Power Division and Zarai Taraqiati Bank Limited (ZTBL).
The committee reviewed a report highlighting complaints of the pensioners of Pakistan International Airlines Corporation Limited (PIACL). It was also revealed that currently pension liabilities for 6,625 employees of PIACL amount to Rs. 14.87609 billion. Expressing concern, Chairman Committee Senator Dr. Afnan Ullah Khan remarked that the pension amount is extremely low, asking how people are expected to survive. In response, the Ministry of Privatization stated that pension policies are regularly revised and updated annually in line with allowances. The Chairman directed that Grade/ Scale wise pension details, including the amount received and the distribution process, be presented in the next meeting.
The Committee was informed that the Pakistan Minerals Development Corporation (PMDC) is not yet included in Privatization list. Senator Zeeshan Khanzada questioned why this institution is being Privatized and asked about the purpose behind it. Senator Bilal Ahmed Khan also raised concerns, questioning why land is being granted/alloted if the government plans to privatize the institution. He further asked about the area under PMDC's operation and the quantity of mineral output.
Senators further queried the basis of the privatization decision, noting that the Petroleum Ministry lacks the mandate to privatize the PMDC. In response, the minister clarified that the Cabinet Committee on SOEs is responsible for evaluating organizations and that the Petroleum Ministry can better explain its mandate. The committee was briefed on the privatization process, which involves recommendations to the Board, Cabinet's approval, and hiring of financial/legal advisors through advertisements. The evaluation criteria will then be assessed before final approval. The Chairman Committee Senator Dr. Afnan Ullah Khan proposed that PMDC be invited to the next meeting to further deliberate on this matter.
Regarding Zarai Taraqiati Bank Limited (ZTBL), the committee was informed that it is included in Phase One of the privatization list approved by the government in August 2024. A total of 24 organizations are to be privatized. ZTBL is currently in the process of hiring Financial Advisor. The Ministry stated that the negotiations are in progress to finalize how ZTBL will be privatized.
Moreover, The Chairman Committee Senator Dr. Afnan Ullah Khan questioned the delay in hiring a financial advisor, noting that the last meeting was held on January 31st, when the bids were submitted and evaluated. He expressed concern that nearly six months had passed without finalizing the appointment. The ministry responded that the process typically takes six to eight weeks but was delayed due to high fee demands by one party nearly Rs. 500 million forcing a restart of the process. The ministry assured the committee that the complete privatization process is now targeted to be completed within nine months.
Furthermore, Senator Zeeshan Khanzada raised a critical point upon the overall Privatization process of the entities. He further questioned the rationale behind privatizing the entities while highlighting the performance of the Privatization commission. He urged that this issue be thoroughly discussed in the committee.