keep organizations like Pakistan Steel under its control. Yes, they make loss but they can be useful in events of emergency or for use in government projects. They cost a lot to run though, on account of inefficiencies and corruption.
privatize such organizations. In that case, the private parties close to the government would make a gain and government would lose control of ‘strategic’ assets like Steel Mills.
..An angry Rabbani declared that his party would not let the government privatise the PSM and threatened to block the National Highway if any such effort was made. Mr Rabbani said it seemed that the PSM was being run in loss deliberately since rulers wanted to sell the national asset to their “cronies and favourites”. …
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Mr Rabbani conveniently forgot that PSM made larger losses every time PPP was in power.
Privatization is important, but the government needs to take the opposition on board and go ahead with transparent bidding. The image of the government giving the assets to their cronies for peanuts creates distrust, and this is the exact reason why PPP is resisting this move.
Govt should own more than 50% of share of all such high value and strategic establishments. to improve performance, they can privatize or outsource certain operations in the organization for a given time period, and renew the contracts based on performance.
for example, private run Shalimar Express in railways, govt can ask private parties to run cargo routs, ask private parties to run certain railway facilities, outsource catering/ ticket checking etc etc and charge them fix amount, hire 3rd party quality control firms. many things can be done.
LmAo at Rabbani........the haramkhor PPPP walay are eating away all the money through steel mills...it was a profitable entity before chor bhutto followers descended upon the government. Zardari's friends turned it into a loss making enterprise within months......
They need to privatised.......but with the government having shareholding....... PTCL privatisation is a good example...
It's not a bad idea PSM/PR/pIA white elephants give to the private company to run, IF govt. is honest and really want to improve the economy but I highly doubt over all there is less chnces in growing of national treasury money goes to individual pockets.
Why not private sector open another steel mill or new railway line? Bana banya halwa tou sab chahte hain ke kha lain!! We have few giant business man who can easily built and run these things.
....Why not private sector open another steel mill or new railway line? Bana banya halwa tou sab chahte hain ke kha lain!! We have few giant business man who can easily built and run these things.
There are privately owned steel mills (if not as big as PSM). Railway lines come under infrastructure which the government should plan. Otherwise we'll have a hotchpotch of irrelevant infrastructure projects. Yes, the operations of such infrastructure should be privatized but regulated by government (like telecoms).
The question is that is it acceptable that a few buyers get several million rupees of benefits by buying these assets as lower than that price these assets should fetch? I am pretty much sure that no government would let go an opportunity like this to get kickbacks.
I think it is still better if, say, cronies and people close to the government benefit one time and take over these organizations rather than the nation bearing the cost of inefficiently running them every year.
There are privately owned steel mills (if not as big as PSM). Railway lines come under infrastructure which the government should plan. Otherwise we'll have a hotchpotch of irrelevant infrastructure projects. Yes, the operations of such infrastructure should be privatized but regulated by government (like telecoms).
The question is that is it acceptable that a few buyers get several million rupees of benefits by buying these assets as lower than that price these assets should fetch? I am pretty much sure that no government would let go an opportunity like this to get kickbacks.
I think it is still better if, say, cronies and people close to the government benefit one time and take over these organizations rather than the nation bearing the cost of inefficiently running them every year.
Wrong. Raja line (a meter gauge) from Hyderabad to Monabau was built by a Raja, who runs his saloon on this private owned railway system before partition. Now it has been converted in to broad gauge. Tata Steal mill of India, a world renowned and I think many times larger than PSM is owned by private business in India. A number of Railway lines like Canadian Pacific and in America maintained by private companies. Paki haram khoro ko paka pakay maal chaiay woh bhi korhio ke bhao main.
