IMF Urges Timely Privatization of Hesco, Sepco
Islamabad – March 24, 2026: The International Monetary Fund (IMF) has called on Pakistan to ensure the timely privatization of Hyderabad Electric Supply Company (Hesco) and Sukkur Electric Power Company (Sepco).
The demand comes as part of ongoing discussions on economic reforms and financial support programs.
Push for Power Sector Reforms
The International Monetary Fund emphasized that privatizing loss-making power distribution companies is essential to improve efficiency.
As a result, the move aims to reduce financial losses and enhance service delivery in the energy sector.
Focus on Hesco and Sepco
Hyderabad Electric Supply Company and Sukkur Electric Power Company have faced challenges such as power losses and recovery issues.
Therefore, privatization is seen as a key step toward restructuring these entities.
Economic Implications
Experts say timely privatization could help ease the financial burden on the government.
Moreover, it may attract private investment and improve operational performance.
IMF Conditions
The International Monetary Fund has linked structural reforms, including privatization, to its broader support for Pakistan’s economy.
Officials stressed the importance of meeting agreed timelines.
What’s Next?
The government is expected to accelerate efforts to complete the privatization process.
Meanwhile, further negotiations with the International Monetary Fund will continue in the coming weeks.
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