PIA appoints new CEO for one year

Karachi: The Pakistan International Airlines (PIA) on Thursday appointed former Air Vice Marshal Muhammad Amir Hayat as CEO for one year. 

The departing administration announced this week that it intended to privatize the loss-making PIA, which has racked up losses and arrears totaling hundreds of billions of rupees. The action would be in accordance with a pact with the International Monetary Fund (IMF).

Furthermore, Hayat had been the acting CEO since April 2022, after the former chief executive’s retirement.

According to PIA spokesperson Abdullah Khan, the government could have nominated Hayat as CEO for three years, but the prime minister chose to name him for only one.

The employment of a financial advisor to handle transactions concerning the Roosevelt Hotel in New York, a property of PIA Investment Limited, received support from the Cabinet Committee of Privatisation this week as well.

Within the next three months, PIA plans to start operating flights to the UK once more. Since 2020, services have been suspended due to a scandal involving pilot licensing.

As part of a $3 billion agreement with the IMF, Pakistan agreed to fiscal discipline plans, including the privatization of loss-making companies.

Earlier this week, The Cabinet Committee on Privatization (CCoP) approved the privatization of Pakistan International Airlines (PIA) on Monday.

Finance Minister Senator Ishaq Dar presided over a meeting of the Cabinet Committee on Privatization (CCoP), where the decision was taken.

The proposal from the Privatization Commission to include Pakistan International Airlines Co. Ltd (PIACL) in the privatization program was discussed during the meeting.

Following a change in the law by the Parliament, the CCoP agreed to add Pakistan International Airlines Co. Ltd (PIA) to the list of active privatization projects of the current privatization program.

A summary of in-depth updates about the privatization of the Roosevelt Hotel was delivered by the Privatization Division.

Furthermore, after discussion, the CCoP approved the engagement of a financial adviser by the Privatization Commission to handle/structure transactions involving the Roosevelt Hotel in New York, an asset of PIA Investment Limited (PIA-IL).