Alert Sign Dear reader, online ads enable us to deliver the journalism you value. Please support us by taking a moment to turn off Adblock on

Alert Sign Dear reader, please upgrade to the latest version of IE to have a better reading experience


Pakistan Steel Mills will not be privatized: PM

Published Aug 10, 2012 01:43pm


Your Name:

Recipient Email:

Prime Minister Raja Pervez Ashraf. — AP File Photo

KARACHI: Prime Minister Raja Pervaiz Ashraf announced a special package of two billion rupees for the employees of Pakistan Steel Mills (PSM), DawnNews reported.

Referring to the demands presented by the workers, the Prime Minister said despite limited financial resources, the government will provide maximum facilities to the workers of PSM.

He announced to give Rs 2 billion with immediate effect and directed the Ministry of Finance to provide this amount without delay before Eid ul Fitr.

He said with the improvement of production, the government would provide more incentives.

PM Ashraf announced that PSM will not be privatized and efforts would be made to convert it into a profitable institution and ensured that it will be financially feasible and viable.

Addressing a function here at the PSM, the prime minister said no one would call PSM a “white elephant” as it will feed to all other industries in the country.

The Prime Minister assured that the payments of the PSM bailout package would never delay.

He said the PSM has to achieve some goals, like increase in the production, and urged them to reach to the achievable production.

He expressed the hope that the workers of the PSM will be able to improve the production of their institution.

He said despite its 2.5 lakh tonnes production of the PSM, it is still not sufficient as its expenditures are more and its income is low.

The Prime Minister said the government will ensure the payment to the PSM out of the package of Rs 14.8 billion.

He said if the production will be fifty percent of the milestone, the finance ministry will provide Rs 1 billion more.

The Prime Minister said government wants to improve its institutions.

He said PSM is a great institution and its foundation was laid by Shaheed Zulfiqar Ali Bhutto.

Prime Minister Raja Pervez said the dedication, devotion and determination of the workers of the PSM indicate that they will progress rapidly.

He said PPP is not only the biggest ever political party and its a federal party that has its base within the people, adding, people are the real strength of this party.

He said democracy is the destination and PPP gave sacrifices for democracy.

The prime minister said that the creation of the mill was one of the great achievements of Pakistan People’s Party (PPP) founder Zulfikhar Ali Bhutto. “The present situation of PSM was disturbing, he added.

The Prime Minister said, Zulfiqar Ali Bhutto took the politics from the drawing rooms to the common man and gave them the right to vote.

He said, “I am also a worker and belong to a middle class and it is due to the PPP that a member of a middle class became prime minister of the country.”

The Prime Minister said he easily understand the problems and feelings of middle class and lower middle class people.

He said the federal finance minister has been asked to find a solution to the problem of PSM.

Governor Sindh Dr Ishrat ul Ebad, Chief Minister Qaim Ali Shah, Defense Minister Syed Naveed Qamar, Finance Minister Abdul Hafeez Sheikh and Information Minister Qamar Zaman Kaira were also present at there.


Your Name:

Recipient Email:

Comments (10) Closed

knowthetruth :-) Aug 10, 2012 11:36am
or another Package of corruption? Knowing that bailout does not works still they are wasting money by injecting funds again and again. Now God even can't save Pakistan :-(
Conscientious Aug 10, 2012 02:02pm
PSM is a white elephent and will keep gobbling poor country's tax payer money. This entity is to be be liquidated or sold out as soon as possible. It is another case of wrong policies of Peoples Party and judgement of Iftikahar Chaudhry when he did not allow sale of PSM to a private party that caused loss of billion of dollars to Pakistan's exchequer for this Iftikhar Chaudhry should be fired.
Imran Aug 10, 2012 02:29pm
A corrupt PM, a incompetent administration only spells disaster. When will the proud Pakistani nation realise this unfortunate situation??? No political alliances to be honest as I am based in paradise UK ( according to my Pakistani brothers and sisters ) Pls wake up, as you voted in this curse....
anonymous Aug 10, 2012 03:22pm
they have never ever injected funds since the past 4 years. They had been announcing bailout of 6billion, 7 billion and 8 billion but had never given a single rupee to the mill
anonymous Aug 10, 2012 03:26pm
it is better to know the real truth rather than cursing on something false! U have no idea that an accrual of 2 month salary really deteriorates the entire household framework.
cautious Aug 10, 2012 03:57pm
Energy intensive industry in a country which is short on energy and high on corruption. Does anyone believe that an honest businessman would purchase a steel mill without an absolute guarantee of dependable power. I suspect that in the long run you would be better off mothballing this industry and purchasing your steel from outside sources.
Putar Aug 10, 2012 04:25pm
Bailouts never work
malik Aug 10, 2012 05:24pm
It is better to privatize PIA, PSM, etc,, govt has nothing to do with business, and an in-efficient govt should stay faraway from business. Privatization improves efficiency and productivity and is good for the country. Instead of losses that is eventual burden on tax payers, the govt will get tax in return, if privatized.
Nadeem Shah Aug 11, 2012 12:02am
Lets have another spending round, like a child gets pocket money, from USAID to feed into the election campaign. Innocent people get seduced very easily with basic needs of life (the plan is to keep it like this), no one in their right mind will run a private company like this! Learn from neighboring TATA.
mohsin Aug 11, 2012 05:29pm
well said