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Govt advised to revive 150 units on priority

JAVED MEHMOOD

ISLAMABAD: The ministry of industries and production has advised the government to revive 150 major sick industrial units on priority basis to augment industrial activity in the country, it is learnt.

Sources told Business Recorder that in recent meetings on economic matters the ministry has pointed out that without reviving these viable sick units the overall improvement in local industry would be difficult.

"Out of 400 major sick industrial units, we have identified 150 projects which can be revived by putting into more equity in a short period through the newly proposed 'micro credit bank'" a senior official of the ministry said.

"We have also asked the government to absorb the loans of these sick units with the consent of owners and offer these units for privatisation after revival," he further said.

Although the list of sick units-small, medium and major-is too long, initially only those big industries had been identified for revival that can be put into action with little effort and have the potential to survive in future, he said.

The government, he said, had already proposed a 'micro credit bank' to provide credit facility for the new industrial units and to revive the sick units.

It is learnt that the ministry of finance is negotiating with donors for credit to revive the sick units and if this move materialises it would be a breakthrough in the revival process of the sick industries.

The previous government had also pledged to revive the sick industries. The deposed government remained in power for nearly three years, but it did not make much progress in this regard. However, relevant quarters in the present government feel that sick but viable industries should be revived on priority basis, as the ministry of industries and production and the Economic Advisory Board (EAB) have supported this viewpoint.