ISLAMABAD: Minister of State for Finance, Revenue and Railways Bilal Azhar Kayani said on Thursday that, following the successful privatisation of Pakistan International Airlines (PIA), the next phase would focus on electricity distribution companies, including IESCO, GEPCO, and FESCO, as the government remains firmly committed to sustainable and inclusive growth.
Speaking in an exclusive interview with Pakistan TV, Kayani described the successful privatisation of Pakistan International Airlines (PIA) as a landmark achievement after decades of failed attempts, saying it would reduce the burden of loss-making state-owned enterprises on the national exchequer and help transform PIA into a profitable, world-class airline.
“The momentum created by the PIA deal will help generate greater investor and advisory interest going forward for the privatization program,” he said.
“The next phase of privatisation is focused on electricity distribution companies, including IESCO, GEPCO and FESCO,” Kayani added.
The minister said Pakistan’s economy has undergone a significant turnaround over the past two years, shifting from crisis management to macroeconomic stabilisation.
He added that the government assumed office in February 2024, at a time when inflation was hovering between 20 and 25 percent and Pakistan had just entered a new IMF programme.
“Today, less than two years on, we have not only successfully completed IMF reviews but also restored economic confidence,” he said.
The minister highlighted key achievements, including an increase in the tax-to-GDP ratio from 8.8 percent to 10.2 percent within a year, a notable rise in foreign exchange reserves, and a significant jump in workers’ remittances. “Pakistan’s improving outlook has been recognised globally, with all three major rating agencies, Standard & Poor’s, Moody’s and Fitch, upgrading the country’s ratings outlook,” he added.
Kayani credited Prime Minister Shehbaz Sharif’s direct oversight of reforms at the Federal Board of Revenue (FBR) for improved tax collection.
“Initiatives such as Faceless Customs, digitisation of tax systems, and enforcement measures have reduced leakages and enhanced efficiency, earning recognition from the IMF, which showcased Pakistan’s reforms as a case study during its annual meetings.”
Looking ahead, Kayani said the government’s priority is shifting from stabilisation to quality GDP growth driven by exports and private-sector investment. He stressed the importance of inclusive growth that benefits lower-income groups and expands employment opportunities.
“To this end, the government is engaging closely with the private sector through working groups and policy consultations,” he added.
He also pointed to record-breaking performance at the Pakistan Stock Exchange as a reflection of growing investor confidence, while acknowledging it as one of several indicators of economic health. Additionally, Kayani praised the Special Investment Facilitation Council (SIFC) for improving ease of doing business by providing a one-window platform for domestic and foreign investors.
The minister said reduced inflation, lower policy rates and a focus on export diversification, including IT and value-added agriculture, would help ensure sustainable economic growth in the years ahead.
