{"id":610,"date":"2026-11-04T07:22:43","date_gmt":"2026-11-04T07:22:43","guid":{"rendered":"https:\/\/dashboard.bluntlinenetwork.com\/en\/?p=610"},"modified":"2026-11-04T07:22:43","modified_gmt":"2026-11-04T07:22:43","slug":"economic-reforms-delayed-for-78-years-cannot-be-completed-in-18-months-says-finance-minister-muhammad-aurangzeb","status":"publish","type":"post","link":"https:\/\/dashboard.bluntlinenetwork.com\/en\/2026\/11\/04\/610","title":{"rendered":"Economic Reforms Delayed for 78 Years Cannot Be Completed in 18 Months, Says Finance Minister Muhammad Aurangzeb"},"content":{"rendered":"\n

Pakistan’s Finance Minister Muhammad Aurangzeb has said that economic and administrative reforms that could not be implemented over the past 78 years cannot realistically be completed within just one to one-and-a-half years. He emphasized that the government is working to reduce unnecessary spending, restructure public institutions and accelerate the privatization of state-owned enterprises. According to the minister, restructuring and closure measures have been taken regarding PASSCO, the Utility Stores Corporation and the Pakistan Public Works Department, while the privatization of 26 government entities remains a major priority.<\/strong><\/p>\n\n\n\n

ISLAMABAD:<\/strong> Federal Minister for Finance and Revenue Muhammad Aurangzeb has said that Pakistan’s long-standing economic and administrative challenges require continuous reforms, careful planning and sustained implementation.<\/p>\n\n\n\n

Speaking at a conference organized by the Sustainable Development Policy Institute (SDPI) in Islamabad on November 4, 2026, the finance minister discussed the government’s efforts to improve public-sector efficiency and strengthen the country’s economic management.<\/p>\n\n\n\n

Aurangzeb said that reforms which had remained incomplete for 78 years could not be expected to produce all their results within a period of 12 to 18 months.<\/p>\n\n\n\n

He explained that the government was reviewing the structure and performance of state-owned institutions to reduce unnecessary expenditures and improve the use of public resources.<\/p>\n\n\n\n

The minister also highlighted the government’s ongoing privatization program and efforts to make public institutions more efficient.<\/p>\n\n\n\n

Government Focuses on Restructuring State-Owned Enterprises<\/h2>\n\n\n\n

Finance Minister Muhammad Aurangzeb said that improving the performance of government-owned institutions is an important part of Pakistan’s economic reform agenda.<\/p>\n\n\n\n

State-owned enterprises operate in several sectors, including agriculture, infrastructure, transportation, energy and public services.<\/p>\n\n\n\n

Some of these institutions require financial support from the government, particularly when their operating costs exceed their revenues.<\/p>\n\n\n\n

Such financial pressures can increase the burden on the national budget.<\/p>\n\n\n\n

According to the finance minister, the government has been reviewing institutional structures, operational costs and administrative arrangements to improve efficiency.<\/p>\n\n\n\n

The objective is to ensure that public resources are used effectively and that government institutions operate according to their actual responsibilities and requirements.<\/p>\n\n\n\n

Aurangzeb said that the federal government’s committee dealing with state-owned enterprises had worked on rightsizing measures as part of the reform process.<\/p>\n\n\n\n

PASSCO, Utility Stores and PWD Included in Rightsizing Measures<\/h2>\n\n\n\n

The finance minister specifically referred to the Pakistan Agricultural Storage and Services Corporation (PASSCO), the Utility Stores Corporation (USC) and the Pakistan Public Works Department (PWD).<\/p>\n\n\n\n

According to his remarks, the government has taken restructuring and closure-related measures concerning these institutions.<\/p>\n\n\n\n

Rightsizing generally refers to adjusting an organization’s structure, staffing, operations and expenditure according to its needs.<\/p>\n\n\n\n

The process may involve merging departments, reducing administrative costs, transferring responsibilities or closing institutions that are no longer considered necessary in their existing form.<\/p>\n\n\n\n

Aurangzeb said that the government’s committee on state-owned enterprises had reviewed these matters and worked on relevant recommendations.<\/p>\n\n\n\n

However, the exact legal and administrative status of each institution may differ, and a decision to close an organization does not necessarily mean that all winding-up procedures have been completed.<\/p>\n\n\n\n

What Is PASSCO and Why Is It Important?<\/h2>\n\n\n\n

The Pakistan Agricultural Storage and Services Corporation has traditionally played an important role in the country’s agricultural commodity management system.<\/p>\n\n\n\n

Its responsibilities have included purchasing and storing agricultural products, particularly wheat.<\/p>\n\n\n\n

Such operations require warehouses, transportation arrangements, administrative staff and significant financial resources.<\/p>\n\n\n\n

The government has been reviewing PASSCO’s future as part of its broader institutional reform program.<\/p>\n\n\n\n

The finance minister identified the corporation among the institutions affected by rightsizing and closure measures.<\/p>\n\n\n\n

Questions surrounding the transition include how wheat procurement and storage responsibilities will be handled, how outstanding liabilities will be settled and what arrangements will be made for employees.<\/p>\n\n\n\n

The government’s reform process has included measures concerning PASSCO’s winding-up and employee compensation.<\/p>\n\n\n\n

Utility Stores Corporation Faces Structural Changes<\/h2>\n\n\n\n

The Utility Stores Corporation has historically operated retail outlets providing essential consumer goods across Pakistan.<\/p>\n\n\n\n

Its services have included selling groceries and household necessities, sometimes under government-supported subsidy arrangements.<\/p>\n\n\n\n

The corporation has also faced questions about operating costs, financial performance and the sustainability of its business model.<\/p>\n\n\n\n

According to the finance minister, the government has taken rightsizing and closure-related measures concerning the organization.<\/p>\n\n\n\n

The process raises important questions about employees, outstanding payments, property, inventories and the future delivery of subsidized goods.<\/p>\n\n\n\n

Any transition involving the corporation must also address how eligible consumers will access assistance through alternative arrangements.<\/p>\n\n\n\n

The finance minister’s remarks focused on the reform decision rather than providing a complete account of every administrative step.<\/p>\n\n\n\n

Pakistan Public Works Department Also Part of Reform Process<\/h2>\n\n\n\n

The Pakistan Public Works Department has traditionally been responsible for various federal government construction and maintenance activities.<\/p>\n\n\n\n

Its work has included the development, repair and maintenance of public buildings and other government infrastructure.<\/p>\n\n\n\n

Aurangzeb identified PWD as another institution included in the government’s restructuring and closure measures.<\/p>\n\n\n\n

Changes to an organization of this nature require decisions about existing projects, assets, employees and the transfer of administrative responsibilities.<\/p>\n\n\n\n

Government departments must also determine which institutions will manage ongoing work after organizational changes are implemented.<\/p>\n\n\n\n

The supplied report did not provide a detailed breakdown of these arrangements.<\/p>\n\n\n\n

Privatization of 26 Government Entities Remains a Priority<\/h2>\n\n\n\n

Finance Minister Muhammad Aurangzeb said that the privatization of 26 government entities is among the government’s priorities.<\/p>\n\n\n\n

Privatization generally involves transferring full or partial ownership, management or operational control of a state-owned institution to the private sector.<\/p>\n\n\n\n

Governments may pursue privatization to improve operational efficiency, attract investment and reduce the financial burden of public enterprises.<\/p>\n\n\n\n

However, the outcome of privatization depends on the condition of the institution, the transaction structure, regulatory safeguards and the responsibilities assigned to the new operator.<\/p>\n\n\n\n

Aurangzeb said that the government was continuing work on its privatization agenda.<\/p>\n\n\n\n

The report did not identify all 26 entities or provide a complete timetable for their proposed privatization.<\/p>\n\n\n\n

The implementation of the program will depend on regulatory approvals, investor interest, financial assessments and the relevant legal procedures.<\/p>\n\n\n\n

Difference Between Rightsizing and Privatization<\/h2>\n\n\n\n

Although rightsizing and privatization are often discussed together, they are different processes.<\/p>\n\n\n\n

Rightsizing focuses on changing the size, structure or operational arrangements of an organization.<\/p>\n\n\n\n

It may involve reducing administrative costs, combining departments, transferring responsibilities or closing an institution.<\/p>\n\n\n\n

Privatization, on the other hand, involves transferring ownership or management responsibilities from the public sector to private investors or operators.<\/p>\n\n\n\n

An institution can undergo rightsizing without being privatized.<\/p>\n\n\n\n

Similarly, a government may restructure an enterprise before offering it to private investors.<\/p>\n\n\n\n

Both approaches can form part of a broader economic reform strategy, but they have different implications for employees, public finances and service delivery.<\/p>\n\n\n\n

Former State Bank Governor Dr. Ishrat Husain’s Reform Report Praised<\/h2>\n\n\n\n

During his address, Finance Minister Muhammad Aurangzeb also referred to the reform work of former State Bank of Pakistan Governor Dr. Ishrat Husain.<\/p>\n\n\n\n

He said that Dr. Ishrat Husain’s report on institutional and administrative reforms had proved useful in discussions involving the government’s committee on state-owned enterprises.<\/p>\n\n\n\n

Dr. Ishrat Husain is widely known for his work in economic policy, public administration and institutional reform.<\/p>\n\n\n\n

His reform-related work has addressed issues involving government efficiency, organizational structures and public-sector performance.<\/p>\n\n\n\n

According to Aurangzeb, the government benefited from these recommendations while reviewing its own reform measures.<\/p>\n\n\n\n

The reference indicates that earlier institutional reform proposals remain relevant to Pakistan’s current economic policy discussions.<\/p>\n\n\n\n

Reforms Ignored for Decades Need Time, Says Aurangzeb<\/h2>\n\n\n\n

One of the central messages of the finance minister’s speech was that Pakistan’s economic problems cannot be resolved immediately.<\/p>\n\n\n\n

Aurangzeb said that reforms which had not been completed over the country’s 78-year history could not realistically be achieved within just one or one-and-a-half years.<\/p>\n\n\n\n

Major economic reforms often require legislative changes, administrative decisions, financial planning and coordination between different government departments.<\/p>\n\n\n\n

Restructuring public institutions can also involve employee-related matters, legal obligations and the transfer of assets and responsibilities.<\/p>\n\n\n\n

These processes may take time even after the government announces its policy decisions.<\/p>\n\n\n\n

The minister emphasized the need for continued implementation rather than expecting immediate results from long-term reforms.<\/p>\n\n\n\n

State Bank Governor Calls for Economic Growth to Benefit Every Household<\/h2>\n\n\n\n

State Bank of Pakistan Governor Jameel Ahmad also addressed the conference and spoke about the importance of economic reform.<\/p>\n\n\n\n

He praised former central bank governor Dr. Ishrat Husain for his contribution to Pakistan’s economic reform efforts.<\/p>\n\n\n\n

Jameel Ahmad said that the benefits of economic growth must reach every household in the country.<\/p>\n\n\n\n

His remarks highlighted the importance of ensuring that improvements in economic indicators translate into better living conditions for ordinary citizens.<\/p>\n\n\n\n

Economic progress can be reflected in employment opportunities, household income, purchasing power, business activity and access to essential services.<\/p>\n\n\n\n

However, improvements in national economic figures do not always produce immediate benefits for every family.<\/p>\n\n\n\n

The governor’s statement emphasized the need for economic development that improves people’s everyday lives.<\/p>\n\n\n\n

How Could Government Reforms Affect Ordinary Pakistanis?<\/h2>\n\n\n\n

The government’s rightsizing and privatization programs could have implications for public finances, employees, businesses and consumers.<\/p>\n\n\n\n

If restructuring reduces unnecessary expenditure and improves institutional efficiency, it may create more room for government spending on other priorities.<\/p>\n\n\n\n

However, the potential benefits depend on how reforms are implemented.<\/p>\n\n\n\n

Employee rights, outstanding liabilities and the continuity of public services are important considerations.<\/p>\n\n\n\n

For example, changes involving agricultural procurement institutions may affect the administration of commodity storage and purchasing.<\/p>\n\n\n\n

Similarly, changes to retail organizations that previously provided subsidized goods raise questions about how assistance will reach eligible households.<\/p>\n\n\n\n

The impact of privatization may also differ between sectors.<\/p>\n\n\n\n

Some transactions could attract investment and improve management, while others may require strong regulation to protect consumers and maintain service standards.<\/p>\n\n\n\n

The long-term success of these measures will therefore depend on practical results rather than announcements alone.<\/p>\n\n\n\n

What Challenges Could the Privatization Program Face?<\/h2>\n\n\n\n

Privatizing state-owned enterprises can be a complicated process.<\/p>\n\n\n\n

Potential investors often examine an institution’s financial position, debts, operational performance and future earning potential before making an investment decision.<\/p>\n\n\n\n

Government authorities must also consider legal requirements, regulatory conditions and the protection of public interests.<\/p>\n\n\n\n

In some cases, restructuring is required before an enterprise can attract suitable investors.<\/p>\n\n\n\n

The government may also need to settle outstanding liabilities or clarify ownership arrangements.<\/p>\n\n\n\n

These factors can influence how quickly privatization transactions move forward.<\/p>\n\n\n\n

For Pakistan, maintaining transparency and establishing clear regulatory safeguards will be important for the credibility of the process.<\/p>\n\n\n\n

What Comes Next for Pakistan’s Economic Reform Program?<\/h2>\n\n\n\n

The finance minister’s remarks indicate that restructuring government institutions and advancing privatization remain important elements of the government’s economic agenda.<\/p>\n\n\n\n

The future of PASSCO, the Utility Stores Corporation and PWD will depend on the completion of their respective administrative and legal processes.<\/p>\n\n\n\n

Meanwhile, the government’s plans involving 26 state-owned entities will require further decisions regarding transaction structures, approvals and implementation.<\/p>\n\n\n\n

The public will also be watching how these reforms affect government spending, service delivery and employment.<\/p>\n\n\n\n

Another important question is whether the savings and efficiency gains expected from institutional reforms will contribute to broader economic improvements.<\/p>\n\n\n\n

The State Bank governor’s emphasis on household-level benefits highlights the importance of connecting economic policy with the everyday needs of citizens.<\/p>\n\n\n\n

Pakistan Needs Long-Term Commitment to Economic Reform<\/h2>\n\n\n\n

Finance Minister Muhammad Aurangzeb has emphasized that Pakistan’s economic and administrative challenges cannot be resolved within a short period.<\/p>\n\n\n\n

Speaking at the SDPI conference in Islamabad, he said that reforms left incomplete over 78 years would require sustained effort and time.<\/p>\n\n\n\n

The minister highlighted rightsizing and closure-related measures involving PASSCO, the Utility Stores Corporation and the Pakistan Public Works Department.<\/p>\n\n\n\n

He also identified the privatization of 26 government entities as a major priority.<\/p>\n\n\n\n

Aurangzeb acknowledged the contribution of former State Bank Governor Dr. Ishrat Husain’s reform recommendations to the government’s ongoing discussions.<\/p>\n\n\n\n

Meanwhile, State Bank Governor Jameel Ahmad stressed that the benefits of economic development must reach households across Pakistan.<\/p>\n\n\n\n

The government’s reform agenda now faces the challenge of turning policy decisions into measurable improvements in institutional efficiency, public finances and the lives of ordinary citizens.<\/p>\n","protected":false},"excerpt":{"rendered":"

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