The Privatization and Corporatization Board(PCB) has decided to liquidate some of the unprofitable government-owned companies.
Speaking before the Parliament’s SOE Committee on behalf of PCB, the board’s Secretary General Ahmed Yameen said that a procedure had been developed and shared with the relevant authorities on how to handle unprofitable companies.
According to Yameen, there are two strategies for addressing unprofitable companies: reviewing operations to find profitable solutions, possibly including mergers, or liquidating companies that appear to be unprofitable. However, the PCB did not disclose specific company names to the committee.
Yameen said a performance monitoring system is being established to strengthen the management of companies.
The decision to liquidate some government-owned companies is part of the government's cost-cutting measures amid the nation’s current economic challenges. Finance Minister Dr. Mohamed Shafeeq previously stated that the necessary measures would be implemented by mid-July at the latest, and urged all relevant agencies to support the measures taken by the ministry.
