Islamabad, September 21, 2024 – The Cabinet Committee on State-Owned Enterprises (CCoSOEs) has approved the reconstitution of the Board of Directors for Pakistan Revenue Automation (Private) Limited (PRAL), a key entity under the Revenue Division.
The decision was made during a meeting chaired virtually by Minister for Finance and Revenue, Senator Muhammad Aurangzeb. The reconstitution of the board follows the guidelines set out under the State-Owned Enterprises Act, 2023.
According to a news release, the CCoSOEs reviewed the summary presented by the Revenue Division, which proposed a new board structure for PRAL. The summary included recommendations for the appointment of five independent directors and four ex-officio members, in line with Section 10 of the Enterprises (Governance and Operations) Act, 2023. The independent directors, all drawn from the private sector, were selected based on their significant experience in top management roles, as well as their expertise in law, accountancy, and management.
The approved appointments mark a significant shift towards enhanced governance for PRAL, a crucial arm of the Federal Board of Revenue (FBR) responsible for developing and maintaining Pakistan’s tax administration systems. The inclusion of majority independent directors from the private sector is expected to bring fresh perspectives and improve operational efficiency.
During the meeting, Minister Aurangzeb expressed strong support for the selection of the independent directors. He praised the decision to incorporate professionals from the Small and Medium Enterprises (SME) sector, noting that their inclusion would promote a more effective and professional approach to running PRAL. He also emphasized that the reconstituted board is well-positioned to improve oversight and management, which will be instrumental in helping Pakistan meet its revenue generation targets.
“I am confident that the new Board will provide the strong oversight needed to manage PRAL efficiently and effectively. Their expertise will help us achieve our broader revenue goals,” said the minister.
The meeting was attended by several key officials, including Minister for Maritime Affairs Qaiser Ahmed Shaikh, Chairman of the Federal Board of Revenue (FBR) Rashid Mahmood Langrial, and Chairman of the Securities and Exchange Commission of Pakistan (SECP) Akif Saeed, all of whom participated virtually. Federal secretaries and senior officers from various ministries and departments were also present.
The reconstitution of PRAL’s Board of Directors is seen as a step towards improving the governance of state-owned enterprises, with a focus on modernizing tax systems and bolstering revenue collection for the government. The new board’s composition is expected to bring greater transparency and accountability to PRAL’s operations.
