November 14, 2023 (MLN): The Privatisation Commission (PC) on Monday decided to take immediate steps to realize a fair asset value for the House Building Finance Company Limited (HBFC) to complete the process of privatizing the state-owned entity by December 15, 2023, as per a press release issued on the said day.
The mentioned agenda was discussed during a meeting between the Federal Minister for Privatisation Fawad Hasan Fawad and the management of HBFC.
Imran Ahad, CEO of HBFC apprised the minister on the company's recent performance together with immediate and short-term plans.
The company has seen a significant turnaround in its financial health which is also reflected in the recent credit rating upgrade by two scales to AA(-).
HBFC has issued a total portfolio of 18 billion Rupees with 14000 active borrowers.
It presently covers only 0.03% market share with a manifold growth potential considering even the regional countries like India and Bangladesh.
The steps to assist the government in achieving a fair asset value include but are not limited to, reprofiling real estate assets, shifting from residential to commercial where applicable, and implementing human resources reforms.
The HR reform focuses on addressing the pension portfolio and transitioning employees to a market-based wage system.
