Pakistan has moved a step closer to privatising Zarai Taraqiati Bank Ltd. (ZTBL) by opening technical bids to appoint a financial adviser for the bank’s restructuring and sale process. According to officials, a government committee is currently reviewing bids submitted by several financial firms. These firms are competing to guide the privatisation process, which is part of Pakistan’s plan to reduce reliance on state-owned enterprises.
This initiative supports the broader economic reform agenda, aligned with International Monetary Fund (IMF) recommendations. The goal is to improve public sector efficiency and attract more private investment, especially in the agricultural finance sector.
ZTBL has faced serious challenges over the years, including mismanagement, outdated systems, and rising non-performing loans. Experts believe privatisation could bring much-needed improvements and boost credit access in rural areas.
After the technical evaluation, financial bids will be invited from the shortlisted firms. The selected adviser will help determine ZTBL’s asset value, identify potential buyers, and structure the final sale deal.
If successful, this privatisation could set an example for other struggling SOEs and signal Pakistan’s commitment to long-term structural reforms in key economic sectors.