No buyers for state-owned 'loss-making entities': Dr Kaiser Bengali

KARACHI: Referring to the government’s ‘struggle’ to find buyers for its loss-making state-owned entities Dr Kaiser Bengali stated “We want to sell, but nobody is buying.”

Renowned economist Dr Kaiser Bengali, who recently resigned from the government’s austerity committee, stated that foreign companies are leaving the country, and despite efforts to sell institutions, there are no buyers.

During a press conference in Karachi, Dr Kaiser Bengali declared that the country is bankrupt, with no loans being offered and foreign companies exiting. He emphasised the need for urgent measures, noting that while they are trying to sell institutions, there are no buyers. The economy is deteriorating, and Islamabad is not concerned about it.

Dr Kaiser Bengali mentioned that he has been advocating for reduced expenses and imports for the past 10 years. He stated that closing institutions will not solve the problems and that he is presenting facts, not supporting anyone. He expressed support for protesting employees and advised the prime minister to close institutions without laying off employees immediately.

Read More: Kaiser Bengali resigns from three govt committees

The economist highlighted that small industries are shutting down, while large industries can afford generators, small ones cannot. To promote industries, taxes need to be reduced, and interest rates must be lowered to save the industry.

Dr Kaiser Bengali criticised the government for laying off lower-level employees instead of officers to reduce expenses. He confirmed his resignation, stating it was not due to dissatisfaction but a decision not to rejoin the committee. He is willing to help if asked, as he has assisted the Sindh and Balochistan governments.

He said the government was protecting the jobs of higher-grade officers who are the actual burden on the state while laying off lower-cadre employees in an attempt to cut costs.

Dr Kaiser Bengali also addressed the complex issue of Independent Power Producers (IPPs), noting that with 100 companies having different terms of agreement, resolving the issue is challenging unless the companies agree.