The Privatisation Commission (PC) has entered into a Financial Advisory Services Agreement (FASA) with a consortium led by Next Capital Limited to oversee the privatisation of Zarai Taraqiati Bank Limited (ZTBL). The agreement was announced by the Commission on Friday, signalling a major step in the government’s broader strategy to reform and privatise state-owned enterprises.
According to the Privatisation Commission, the consortium leading the transaction brings together a diverse and highly experienced group of firms. The partners include Ijaz Ahmed & Associates, Baker Tilly Mehmood Idrees Qamar, Executives Network International, Bridge Public Relations, Savills Pakistan (Pvt.) Limited, and Prima Global Consulting (Pvt.) Limited. Each member is expected to contribute specific expertise in financial, legal, communication, and investment advisory, ensuring that the privatisation process remains transparent, competitive, and efficient.
The initiative highlights the government’s consistent focus on inviting private investment to modernise Pakistan’s banking operations. By opening ZTBL to private capital and market-driven practices, the authorities expect the institution to gain the flexibility and resources needed to strengthen its role in agricultural finance. The Commission stated that the privatisation will not only support institutional sustainability but also enhance access to credit for farmers, rural enterprises, and agribusiness ventures.
ZTBL, Pakistan’s largest public sector agricultural development bank, has historically been central to providing credit and financial support to farmers across the country. The government’s view is that the sale of the bank to private investors will unlock growth opportunities by aligning its operations with modern banking practices. This, in turn, is expected to accelerate rural prosperity through timely and efficient financial services delivery.
Officials emphasised that the privatisation process aims to combine the efficiency and innovation of the private sector with ZTBL’s long-standing sectoral expertise. In doing so, it is anticipated to create a more robust financing framework for the agricultural sector. With Pakistan’s economy heavily dependent on agriculture, improving access to credit and financial products for small farmers is seen as a vital step in securing food security and promoting rural economic development.
Under the Financial Advisory Services Agreement, the selected consortium will undertake a comprehensive set of responsibilities. These include conducting due diligence on ZTBL, assessing the bank’s financial health, engaging with potential investors, structuring the privatisation transaction, and executing a transparent bidding process. Market sounding and investor outreach will also form a key part of the advisory role to ensure broad participation and competitive bidding.
The signing of this agreement marks what the Privatisation Commission called the first critical milestone in the ZTBL privatisation journey. It lays the groundwork for investor engagement and sets in motion a process designed to be both transparent and aligned with global best practices. Once completed, the government hopes the privatisation will catalyse greater investment in Pakistan’s agricultural sector, delivering long-term benefits to farmers, agribusinesses, and rural communities nationwide.