Nawaz revamps board of Pakistan Steel Mills

In September, the government released Rs1.5b from its Rs3b bailout package for the Steel Mills, out of which Rs800 million was immediately paid as salaries to the staff. PHOTO: FILE

In September, the government released Rs1.5b from its Rs3b bailout package for the Steel Mills, out of which Rs800 million was immediately paid as salaries to the staff. PHOTO: FILE

THE EXPRESS TRIBUNE, ISLAMABAD, 10th OCTOBER 2013: Prime Minister Nawaz Sharif, on Wednesday, approved the appointment of five people, including businessmen and a chartered accountant, to the board of directors of Pakistan Steel Mills to turn around the crisis-hit state-owned enterprise, according to a press statement.

According to the statement from the prime minister’s office, chartered accountant Asad Ali Khan, businessmen Jabbar Memon Shah, human resource manager M Saad Hussain, corporate professional Sohail Ahmed and banker Ahmed Alman Aslam were approved for the board.

The government, in a massive privatisation drive, had decided to sell 26% or more shares of various state-owned entities, including Pakistan Steel Mills and Pakistan Railways.

Overall, 31 enterprises, worth billions of dollars and belonging to sectors such as oil and gas, banking and finance, power, industries and real estate, will be privatised and restructured. Last week, the Cabinet Committee on Privatization (CCOP) approved the privatisation and restructuring strategy for these enterprises.

The sale is necessary to fulfil a key condition of the International Monetary Fund’s extended fund facility worth $6.7 billion for the country.

The government approved giving Pakistan Steel Mills under the control of private sector and reducing its shareholding.

The premier last month said the Pakistan Muslim League – Nawaz government was pumping in Rs500 billion every year into the “black hole of institutional losses” and mentioned the examples of Pakistan International Airlines, Pakistan Steel Mills and the Railways. He said one of the main reasons for the losses was excess staff.

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