Maps
Magazine

TRADE & ECONOMY

All Utility Stores Shut Down Nationwide Amid Privatization Plans
All utility stores across Pakistan closed from today. Govt moves forward with privatization plan; VSS for employees under review. Sub-committee formed to finalize recommendations.
ND
by News Desk
2025-07-31
All Utility Stores Shut Down Nationwide Amid Privatization Plans

The federal government has ordered the closure of all utility stores across Pakistan starting today. A formal notification has been issued to cease all buying and selling activities nationwide.

The closure follows a directive from the Ministry of Finance, which had earlier instructed to suspend utility store operations until July 31, 2025. However, the closure is now being implemented with immediate effect as part of broader privatization and restructuring efforts.

A high-level meeting of the committee established by Prime Minister Shehbaz Sharif was held in Islamabad, chaired by Federal Finance Minister Muhammad Aurangzeb. Senior officials, including the Special Assistant on Industries and Production, participated in the session.

The committee reviewed the Voluntary Separation Scheme (VSS) for utility store employees, exploring fair and financially feasible options. It was also decided to consult the Privatization Commission to assess the viability of selling the assets and operations of the Utility Stores Corporation.

To further evaluate the legal and operational dimensions of the closure, a sub-committee has been formed. This sub-committee is expected to submit a report on the VSS plan within the week. The final recommendations will be presented to the Prime Minister for approval.

The move has raised concerns among employees and low-income consumers who have long relied on subsidized essential items from utility stores. Critics argue that privatization may disrupt the affordability of basic commodities for the underprivileged.

Despite this, government officials maintain that the closure and possible privatization are part of broader reforms aimed at reducing fiscal deficits and streamlining inefficient state-run enterprises.

More developments are expected once the sub-committee submits its report and the government finalizes its decision on the future of the Utility Stores Corporation.

 
Tagged:

EconomicReforms

Privatization

PakistanNews

UtilityStores

VSSPlan
Share News: