Pakistan’s state-owned enterprises (SOEs) recorded a net loss of Rs122.9 billion in FY2024-25, despite generating revenues of around Rs12.4 trillion, the Finance Division said on Friday.
Profits of profit-making SOEs fell 13% year-on-year to Rs709.9 billion from Rs820.7 billion. Losses of loss-making entities dropped slightly by 2% to Rs832.8 billion.
The Cabinet Committee on State-Owned Enterprises (CCoSOEs), chaired by Finance Minister Senator Muhammad Aurangzeb, reviewed the portfolio at a meeting at the Finance Division.
Losses remained concentrated in a small number of entities, mainly the transport and power distribution sectors. The National Highway Authority and several DISCOs continued to weigh on the portfolio due to structural inefficiencies, high depreciation, financing costs, and public-service obligations.
SOEs were classified into green, amber, and red categories to prioritise reforms under the SOEs Act, 2023. Government support rose to Rs2,078 billion, largely via equity injections to clear circular debt. Subsidies declined modestly. Inflows to the government from dividends, taxes, and interest reached Rs2,119 billion.
Total SOE debt climbed to Rs9.57 trillion, including domestic and foreign loans, bank borrowings, and accrued interest. Unfunded pension liabilities were estimated at Rs2 trillion. Off-balance-sheet guarantees and contingencies stood at Rs2.16 trillion.
The Finance Minister commended the CMU for enhanced transparency, IFRS-aligned reporting, and a digital database enabling evidence-based oversight. Committee members stressed strict audit enforcement, IFRS adoption by February 2026, realistic business plans, loss-reduction measures, and hard budget limits for chronically loss-making SOEs.
The committee approved publication of the Annual Consolidated Performance Report and sharing its findings with relevant ministries. Independent directors were appointed for Gujranwala Electric Power Company, Jamshoro Power Generation Company, Energy Infrastructure Development and Management Company, Independent System and Market Operator, Islamabad Electric Supply Company, and Tribal Areas Electric Supply Company.
The meeting included federal ministers for power, science and technology, planning, commerce, and maritime affairs, along with senior officials from relevant ministries and regulatory bodies.
