In light of recent developments regarding the closure of the Utility Stores Corporation (USC), I believe this article provides timely insight into the underlying governance issues that affect Pakistan’s State-Owned Enterprises (SOEs). The recent decision to shut down USC serves as a poignant example of the larger systemic issues at play.

I hope this piece contributes to the ongoing discussion on reforming SOEs in Pakistan to enhance their contribution to national growth and economic stability.

The recent decision by the Pakistani government to shut down the Utility Stores Corporation (USC) serves as a stark reminder of the deep-rooted inefficiencies within the country’s State-Owned Enterprises (SOEs).

Aimed at preventing USC from becoming another financial burden like Pakistan International Airlines (PIA), this closure reflects broader governance failures that are commonplace in Pakistan’s public sector. The shutdown, affecting 6,000 employees, underscores the critical need for reform within SOEs that have long been plagued by financial mismanagement, corruption, and ineffective governance.

Across the globe, state-owned enterprises (SOEs) often serve........

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