Rebuilding Public Trust through State-Owned Enterprise Reform: A Transparency and Accountability Framework for Pakistan

Abstract

This study provides a comprehensive quantitative and qualitative assessment of eight major Pakistani State-Owned Enterprises (SOEs) PIA, Pakistan Steel Mills, Pakistan Railways, NHA, LESCO, HESCO, Utility Stores Corporation, and PTV over 2019–2024. Using thematic content analysis, cross-case comparison, and theoretical mapping (agency, institutional, public value, behavioral economics, and political economy frameworks), the study examines financial performance, subsidy dependence, efficiency, and fiscal burden. Findings reveal chronic losses across all SOEs, with PIA and PSM consuming over 92% of total subsidies, a 7.9% subsidy CAGR, and overall efficiency below viable thresholds. Structural inefficiencies, political interference, and operational collapse are evident, particularly in aviation and steel sectors. The study highlights urgent reform needs, including privatization, PPP models, governance professionalization, and citizen-focused accountability, providing actionable insights for sustainable, transparent, and trust-restoring public sector management.