Utility Stores Corporation to Shut Down as Part of Government’s Economic Changes. In what many consider to be a drastic policy reform, the state owned Utility Stores Corporation which has been in place for decades providing basic commodities at subsidized prices throughout Pakistan has been announced for closure. This audacious move is also a watershed moment for how the administration intends to run the economy and distribute subsidies.

The federal minster also said that they have agreed to launch a Rs 28 billion financial program. “This package is to assist those vulnerable communities that depended on USC for affordable groceries and household items”. Though the shuttering of these shops marks the death of a culture, the government argues that reforms are needed to right the economy.

For many decades the Utility Stores Corporation has been a staple in Pakistan’s retail industry making sure that essential goods were available and affordable . Photographs of long lines in front of USC outlets serve as a reminder of the important service it offered millions.

But, optimism is running high even after the closure as officials are stressing that Pakistan’s economy is indicating a tangible recovery. The state imagines a less complicated and costly process to provide citizens with goods that they require access to, without this becoming too much of a drain on state resources.

More on this when we explore what this shutdown means for regular consumers and the Rs28bn support package that will be deployed to help ease the transition during these economic reforms. Read more