Pakistan may have to seek another bailout from IMF

ISLAMABAD: Werner Liepach, country director in Pakistan for the Asian Development Bank, said he's been impressed by the apparent resolve of Sharif and his government to address the thorny economic issues here, which, alongside the losses of the public sector firms also include the problems in the power sector and the unusually low levels of tax collection.

The economic situation is so dire Pakistan may have to seek another bailout from the International Monetary Fund.

But as far as state-owned enterprises go, ``I wouldn't go for privatization right away. I would go for corporatization,'' Liepach said. ``Just run these companies like companies, and not like government departments. Privatize the management _ put in managers that you appoint with a proper mandate.''

``I don't trust any numbers here,'' Liepach said. ``The first step if you want to get restructuring of state-owned enterprises is to do a very credible, independent both financial and operational audit. The current accounts, for me, they are very doubtful.''