Corporate Governance Rules for PSCs
A way to address Public Sector Governance Crisis in Pakistan
This presentation was made by Mr. Shah at the Public Financial Management Conference organized by the Institute of Chartered Accountants of Pakistan in collaboration with the World Bank
In this presentation he has discussed major challenges faced by the Public Sector Entities in Pakistan and the impact of the governance crisis in Pakistan. He has touched upon the recommendations of IFAC to G20 on public sector financial management issues and has discussed the key features of the new governance rules applicable to public sector companies issued by the Securities and Exchange Commission of Pakistan in 2013.
A vital reason for the failure of PSEs is the inadequate quality of the boards which results in lack of ownership and accountability. Mr. Shah asserts that while PSC Governance Rules is the first step for enhancing the governance of public sector enterprises, more initiatives are required to make public sector enterprises, the foremost amongst them is the appointment of high quality individuals on the boards of such enterprises.