Govt to shut down or privatise certain institutions attached to Ministry of IT & Telecom

Telecom Foundation to be privatised, NITB to undergo major restructuring; PSEB instructed to increase its revenue to at least Rs1 billion

The government has decided to shut down and privatise certain institutions attached to the Ministry of Information Technology & Telecommunication as part of its federal rightsizing programme. 

As per media reports, the Ministry of Information Technology has issued directions to this effect as the Institutional Reforms Committee (IRC) has directed the shutdown of the Telecom Foundation, with its subsidiaries to be privatised. 

The National Information Technology Board (NITB) is set to undergo major restructuring to create a leaner organisation partnering with private service providers and adopting an outsourced model. 

The Pakistan Software Export Board (PSEB) has been instructed to increase its revenue to at least Rs1 billion, reducing its reliance on government funding, with occasional support from the Public Sector Development Programme (PSDP).

The IRC has also decided to continue the operations of Virtual University, Universal Service Fund, and Ignite, but plans to gradually allow for private sector intervention once market failures are addressed. 

The IT ministry has requested a detailed implementation plan based on these directives.

Previously, there were discussions about closing the IT ministry entirely, but telecom companies opposed this move, arguing that the ministry serves as a crucial liaison for addressing industry issues. Consequently, the government opted to close some departments within the telecom ministry instead.

Earlier, a committee formed by the cabinet considered closing five ministries—Information Technology and Telecommunication, Kashmir Affairs and Gilgit-Baltistan, States and Frontier Region Division (SAFRON), Industries and Production, and National Health Services, Regulations and Coordination—as part of a plan to streamline the federal government and state-owned enterprises (SOEs). 

The committee explored options such as retaining, closing, modifying, or transferring these ministries to provincial governments.

Monitoring Desk
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