Cabinet approves merger of 82 state-owned enterprises

PM emphasises upon every measure to save nation’s wealth

ISLAMABAD   -  The Federal Cabinet has approved recommendations submitted by the Rightsizing of the Federal Government Committee for merger and dissolution of 82 State-Owned Enterprises (SOEs).

The Cabinet, which met with Prime Minister Shehbaz Sharif in the chair, here on Tuesday, while assenting to the recommendations, also constituted a committee to protect the interests of employees, who will be affected by the merger and dissolution of various government departments.

These 82 entities are being transformed into robust institutions through digitization, smart management, efficient governance, transparency, and swift implementation to provide better facilities to the common man.

The Federal Cabinet was informed that in the first phase, enforcement of the committee’s recommendations has begun in six ministries. This will help improve government performance, correct use of human capital, and policymaking as well as end unnecessary delays in implementation of decisions.

On the recommendations of the Ministry of Housing and Works, proposals were presented in the federal cabinet regarding the dissolution of Pak PWD, transfer of its staff and ongoing projects to other ministries and institutions.  

The meeting was informed that on the directions of the prime minister, necessary maintenance staff and inquiries were being handed over to the concerned ministries and provincial governments to continue uninterrupted work on the ongoing development and PSDP projects tasked to PWD.  

In this regard, the federal cabinet approved the recommendations of the ministry of housing and works.

The cabinet was informed that in order to improve the performance of the federal government, proper use of manpower, removal of unnecessary impediments in the policy-making and implementation of decisions, and to further strengthen the most important departments and bodies, the first phase of work on committee’s recommendations about six ministries had already been initiated.   

The Cabinet was briefed that saving worth one hundred and thirty million dollars has been made by stopping the import of Urea and providing uninterrupted gas supply to Urea factories.

The Prime Minister appreciated the decisions taken by the Ministries of Finance, Energy and National Food Security to ensure provision of unhindered supply of Urea fertilizer during the upcoming Rabi crop season.

The Cabinet was also given a detailed briefing on the implementation of austerity measures as per the vision of Prime Minister Shehbaz Sharif to reduce government expenditure.

The Federal Cabinet approved the continuation of the austerity measures which include voluntary waiver of salary by cabinet members, ban on purchase of government vehicles other than essential vehicles such as ambulances, ban on purchase of new equipment and machinery, creation of new government posts, unnecessary travel abroad at government expense and ban on medical treatments abroad.

Appreciating the implementation of austerity measures by federal ministries, the Prime Minister directed them to ensure continuation of the same.

He said that steps were being taken, on priority basis, to further improve governance and bring about institutional reforms in the country.

“We are introducing digitization and smart management of institutions to modernize the country’s system and harmonize it in accordance with the international requirements,” the prime minister said.

“The country cannot afford that the bureaucracy and the elite enjoy luxuries at the expenses paid in taxes by the poor people. I will save every penny of the poor people till the last drop of my blood,” the press release quoted the prime minister as saying.

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