The Cabinet Committee on Inter-Governmental Transactions (CCoIGT) on Wednesday approved the bid offer for the privatisation of First Women Bank Limited (FWBL), which was higher than the reference price.
The decision clears the path for a government-to-government (G2G) transaction with a UAE-nominated entity owned by International Holding Company (IHC), aimed at increasing foreign direct investment (FDI) inflows and reinforcing investor confidence in Pakistan.
The meeting, chaired by Deputy Prime Minister and Foreign Minister Senator Mohammad Ishaq Dar, saw the participation of the Minister for Petroleum, Minister for Privatisation, Minister of State for Railways, Secretary Cabinet Division, Secretary Privatisation, senior officials of the Privatisation Commission, and representatives from relevant ministries and departments.
Dar acknowledged the efforts of the Privatisation Commission and all stakeholders involved in the transaction, expressing satisfaction over the progress and reaffirming the government’s commitment to economic reform and transparency in the privatisation process.
FWBL, incorporated in 1989, is 82.64% owned by the Government of Pakistan and is being negotiated under the Inter-Governmental Commercial Transactions Act, 2022.
The Federal Cabinet approved the bank’s privatisation in February 2024 following consistent IMF recommendations to reduce the state’s role in the economy.
The bank was added to the privatisation list in November 2018, and a financial advisory consortium was appointed in December 2019.
The consortium completed its due diligence report in June 2020, and the initial transaction structure was approved by the Cabinet Committee on Privatisation in August 2020. The recent approval by CCoIGT represents a key milestone toward completing the FWBL privatisation.
