PRIVATISATION is a process of transfer of ownership of property or business from a government to a private-owned entity. Privatisation is defined as the elimination of social security, and turning over funds to private companies.

Since 1990, Pakistan sold off 167 state-owned enterprises (SOEs) at a price of approximately Rs476 billion. The first phase of privatisation in 1992-96 included partial privatisation of banks; this was followed by the second phase (1997-2000), resulting in the complete denationalisation of the banking sector. And the last phase of privatisation from 2001 till 2008 witnessed selling off non-banking sectors.

Previous privatisation measures caused more un-employment and monopoly in the market. And sectors which were privatised were totally transferred from the government to some select families, which have controlled the economy since the establishment of Pakistan.

Currently, the government has made so many feasible reports and plans in a bid to privatise state-owned enterprises.

Sectors which have become limelight for the new phase of privatisation policy 2013 are PIA, Pakistan Steel Mills (PSM) and public-sector power projects, including Pakistan Transmission and Dispatch Company (PTDC).

However, selling out of 26pc shares of PIA is also part of new privatisation policy phase (2013). This is the so-called fourth phase of privatisation since the privatisation was established in Pakistan (1990).

The government claims vividly that the new phase of privatisation 2013 shall not only overcome the fiscal deficit, along with pure economic growth and development, but

provide asylum to the employees, working in those sectors which may certainly be part of the privatisation policy.

The privatisation policy should ensure that fresh investment is not only diverted to buying state-owned enterprises but is also used to secure the future of youths.

ABDUL FATAH SHAIKH
Larkana