Pakistan

The national flag carrier to be privatised on October 1

This decision was disclosed during a special meeting of the Standing Committee on Privatisation

GNN Web Desk
Published 4 months ago on Aug 26th 2024, 7:46 pm
By Web Desk
The national flag carrier to be privatised on October 1

Islamabad: The government has confirmed plans to privatise Pakistan International Airlines (PIA) on October 1, 2024.

This decision was disclosed during a special meeting of the Standing Committee on Privatisation, chaired by MNA Dr. Farooq Sattar. Privatisation Division Secretary Jawad Paul provided an update, stating that the privatisation process would be completed by the end of September.

In the briefing, it was revealed that PIA had incurred losses of Rs500 billion over the past eight years, with Rs80 billion lost in the last financial year alone. The airline currently faces payments of Rs825 billion.

Despite the pressing financial situation, no international company has participated in the privatisation process, raising concerns among committee members. Committee member Sahar Kamran suggested that the Special Investment Facilitation Council (SIFC) should be shut down if international investment does not materialize.

Jawad Paul assured that PIA employees would continue to serve for three years post-privatisation, after which they would be gradually phased out with full payment of dues.