Pakistan power sector investment interest from China, Saudi Arabia, Qatar, and Turkey targets three major DISCOs as privatisation moves forward
Pakistan’s power sector is attracting serious global attention. China, Saudi Arabia, Qatar, and Turkey have all expressed interest in investing in Pakistan’s power distribution companies. The government confirmed Pakistan power sector investment discussions during a briefing to the National Assembly Standing Committee on Privatization. Moreover, Privatization Commission officials told the committee that investors from all four countries are exploring opportunities, likely alongside local partners.
The government plans to sell between 51 and 100 percent stakes in three major utilities. These are IESCO, GEPCO, and FESCO. Furthermore, authorities introduced a competition safeguard. No single investor — local or foreign — can acquire more than one DISCO. Therefore, the process spreads ownership broadly rather than concentrating control in one set of hands.
To attract buyers, the government will conduct investment roadshows in all four interested countries. Officials will present privatisation opportunities directly to potential investors. Furthermore, the roadshows signal active pursuit of foreign capital rather than a passive wait-and-see approach. Therefore, the government is clearly treating this as a priority transaction.
Bringing private ownership into the DISCOs sits at the heart of Pakistan’s energy reform agenda. These utilities have long struggled with high losses, weak recoveries, and deep operational inefficiencies. Private management, therefore, represents the government’s main strategy for fixing those chronic problems. Furthermore, successful deals would remove loss-making entities from the state’s balance sheet and ease pressure on public finances.
Pakistan has attempted power sector reform before with limited results. Still, interest from four major global economies adds credibility to this round. Finally, whether that interest converts into signed deals depends on how attractive the government makes the terms when the roadshows begin.
