The Cabinet Committee on State-Owned Enterprises (CCoSOEs) on Thursday approved the proposal to exclude the Small and Medium Enterprises Development Authority (SMEDA) from the list of State-Owned Enterprises, citing its statutory and non-commercial nature. The decision was taken during a meeting chaired by Federal Minister for Finance and Revenue Senator Muhammad Aurangzeb at the Finance Division in Islamabad.
SMEDA Exclusion Approved
The committee considered a summary submitted by the Ministry of Industries and Production regarding the categorisation of SMEDA. After deliberations, the CCoSOEs approved the exclusion of SMEDA from the list of State-Owned Enterprises in view of its statutory and non-commercial nature. This move aligns with the government's efforts to streamline the classification of entities under the State-Owned Enterprises framework.
Board Composition for PPL and SML
The committee also reviewed two summaries from the Petroleum Division concerning the constitution of the Boards of Directors for Pakistan Petroleum Limited (PPL) and Saindak Metals Limited (SML). The CCoSOEs emphasized that the composition of the boards of State-Owned Enterprises must remain fully aligned with principles of good governance and the provisions of the State-Owned Enterprises (Ownership and Management) Act and Policy. Specifically, the committee stressed limiting representation from the sponsoring ministry or division to one ex officio director on each board.
Deferral of IFRS Exemption for Energy SOEs
Another summary from the Petroleum Division sought exemption for specified energy sector State-Owned Enterprises from the applicability of International Financial Reporting Standards (IFRS-14 and IFRS-9). The committee deferred the proposal and instructed the Petroleum Division to hold further discussions with the Finance Division and the Law and Justice Division before submitting a revised proposal for consideration.
Independent Director Appointed for PNSC
The CCoSOEs also approved a summary from the Maritime Affairs Division regarding the appointment of an Independent Director to the Board of Pakistan National Shipping Corporation (PNSC) against a vacant position.
Meeting Attendees
The meeting was attended by Federal Minister for Maritime Affairs Muhammad Junaid Anwar Chaudhry, who participated virtually, along with federal secretaries and senior officials from the relevant ministries, divisions, and regulatory authorities.
