The privatization of Zarai Taraqiati Bank Limited (ZTBL) has moved another step forward.
The Privatisation Commission Board has approved the proposed transaction structure and restructuring plan for the state-owned bank, according to official documents.
The plan was prepared by the financial adviser and presented to the board on April 29, 2026.
The board approved the recommendations for submission to the Cabinet Committee on Privatization the following day.
What happens next?
The transaction structure now needs approval from the Cabinet Committee on Privatization and the federal cabinet.
Once those approvals are secured, the government plans to invite investors and potential bidders to take part in the sale of ZTBL.
The process will then move through several stages, including:
- Publication of an expression of interest
- Prequalification of bidders
- Buy-side due diligence
- Competitive bidding
- Financial closure
Due diligence already completed
The final Due Diligence Report for ZTBL has already been approved by the Transaction Committee.
The financial adviser first submitted the Enterprise Due Diligence Report and Transaction Structure Report in November 2025.
The documents were then reviewed several times by the Privatisation Commission, ZTBL, the State Bank of Pakistan and other stakeholders.
Revised reports were submitted in January and April 2026.
The Transaction Committee eventually approved the final Due Diligence Report during meetings held on May 25 and June 17.
How did the privatization begin?
The federal cabinet approved ZTBL’s privatization on August 13, 2024, under the government’s Privatization Programme 2024-29.
The Privatisation Commission Board later classified the bank’s sale as a major privatization.
In July 2025, the board approved a consortium led by Next Capital as the top-ranked bidder for the financial advisory role.
The Financial Advisory Services Agreement was signed in August 2025.
A ZTBL Transaction Committee was then formed to oversee the adviser’s work and help move the privatization forward.
The latest approval brings ZTBL closer to the investor and bidding stage, although several key approvals are still required before the bank can be formally offered to potential buyers.
