Pakistan’s Loss-Making SOEs Lose Rs 2.8 Billion Per Working Day
Pakistan’s loss-making state-owned enterprises recorded losses of Rs 342.8 billion during July–December 2025, equivalent to approximately Rs 2.8 billion per working day, according to a Finance Ministry assessment.
The biannual report covers the first half of fiscal year 2025–26. Its findings highlight persistent financial pressure across struggling public sector companies, alongside rising government support and debt.
Government Support Reaches Rs 804 Billion
Government fiscal support to state-owned enterprises reached Rs 804 billion during the six-month period, increasing by 31%.
This support includes subsidies, grants, loans and equity injections. The report puts the corresponding daily support figure at approximately Rs 6.6 billion.
Financial support and operating losses measure different things. The support figure should therefore not be treated as an additional operating loss or automatically added to the Rs 342.8 billion total.
Profitable Companies Keep the Portfolio in Surplus
Despite substantial losses at struggling enterprises, the overall federal SOE portfolio remained profitable during the reporting period.
Profitable companies generated Rs 423.3 billion, down from Rs 457.2 billion a year earlier. After accounting for loss-making enterprises, the portfolio’s net adjusted profit stood at Rs 80.5 billion, a decline of approximately 30%.
The ministry also reported government receipts from SOEs of Rs 839 billion. Against support of Rs 804 billion, this produced a positive net fiscal flow of Rs 35 billion.
Accumulated Losses and Debt Remain Concerns
Accumulated SOE losses reached approximately Rs 7.22 trillion by December 2025. These represent losses built up over time, rather than losses incurred solely during the latest six months.
Total SOE debt, excluding sovereign guarantees, stood at approximately Rs 10.1 trillion.
The report identified the power sector as a particularly weak performer, citing technical losses and poor recoveries. It called for stronger governance, improved cost recovery and government support linked to performance.
The findings underline the need to assess individual enterprises: profitable companies continue to contribute, while persistent losses elsewhere weaken the portfolio’s financial position.