The federal government has mandated clearance from the Intelligence Bureau (IB) and Inter-Services Intelligence (ISI) for nominees to the Boards of Directors (BoDs) of State-Owned Entities (SOEs), Business Recorder reported.
The Cabinet Division, in a communication sent to various ministries and divisions, conveyed the Federal Cabinet’s decision from July 10, 2024. Ministries and divisions have been instructed to fill vacancies on incomplete or dysfunctional boards of SOEs, statutory bodies, and similar organizations.
This directive comes as part of efforts to ensure the effective functioning of SOEs and their boards.
According to official documents, background checks on board nominees must be conducted by the IB and ISI before their cases are presented to the Cabinet for approval. The move aims to strengthen oversight and ensure integrity in the selection process.
The Cabinet Committee on State-Owned Enterprises (CCoSOEs), chaired by Finance Minister Senator Muhammad Aurangzeb, has been evaluating the performance of SOEs and their boards. The committee is also considering proposals from administrative divisions on whether specific SOEs should be categorized as ‘strategic,’ ‘essential,’ or candidates for privatization.
Any changes to SOE boards are subject to approval by the CCoSOEs and ratification by the Federal Cabinet, highlighting the government’s focus on enhancing governance and operational efficiency within state-run organizations.
