Federal Cabinet approves restructuring of Pakistan Steel Mills

Peshawar: The Federal Cabinet on Wednesday approved restructuring of the Pakistan Steel Mill and orders appointment of new Chief Executive Officer within a week time besides asking the completion of the Board of Directors.

The cabinet that met with the Prime Minister Yousuf Raza Gillani in the chair at Governor’s house Peshawar also directed the Finance Committee of Cabinet to come with the new business plan to make Pakistan Steel Mill a profitable unit.

The cabinet will approve a new bailout package for Pakistan Steel Mill (PSM) once after discussing the new business plan, said federal minister for information and broadcasting Firdous Ashiq Awan while briefing media about the decisions taken in the federal cabinet.

Pakistan Steel Mill, she said will be made a profitable unit like it was in Benazir Bhutto’s period during 199394 when its production was at peek. The cabinet, she said discussed different options to revive PSM and the Prime Minister sought suggestions and support from the coalition partners.

“Different proposals were discussed in the cabinet as some members suggested privatization of the PSM however it was opposed as government wants to make it a profitable unit after which any such decision will be taken,” she said.

Minister information said the ministry of production gave detail briefing regarding the PSM to the cabinet and after long and thorough discussions it has been decided by the cabinet to appoint new professional team to run PSM and make it a profitable unit.

The finance ministry, she said in principal had agreed for a bailout package for the PSM however right now the cabinet orders appointment of new Chief Executive Officer and a team with new business plan after which a bailout package for the PSM will be approved.

“Certainly PSM needs a big injection for its revival however the finance committee of the cabinet will first appoint new team for PSM and together with the committee the new administration of PSM will present its business plan to the cabinet. The appointment of the new CEO will be completed within a week,” she informed.

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