Defence Minister Khawaja Asif has stated that the government is fully satisfied with the PIA sale, calling it a historic move with strong symbolic importance. He shared these views during an appearance on Geo News programme Geo Pakistan.
حکومت اس پیش رفت سے مکمل طور پر مطمئن ہے۔ یہ نجکاری عمل کی پہلی بڑی اور فیصلہ کن ٹرانزیکشن ہے۔ ماضی میں غلط بیانات نے قومی ایوی ایشن کو شدید نقصان پہنچایا۔ پابندیاں لگیں، پروازیں بند ہوئیں، پی آئی اے بحران کا شکار ہوئی۔ آج یہ قدم بحالی کی سمت مضبوط اشارہ ہے۔ pic.twitter.com/loUMUT4761
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Government Stance on PIA Privatisation
Khawaja Asif said the transaction represents the largest step in Pakistan’s privatisation process. He described it as a milestone that reflects renewed confidence in economic reforms. According to him, the deal carries symbolic weight due to the airline’s troubled past.
The minister recalled that earlier privatisations, such as First Women Bank, were smaller in scale. This transaction, however, stands out due to its national and economic impact.
Details of the PIA Sale Process
A consortium led by the Arif Habib Group secured a controlling stake in Pakistan International Airlines Corporation Limited. The winning bid stood at Rs135 billion after a competitive and transparent auction. This marked Pakistan’s first major privatisation in nearly two decades.
The PIA sale is also a key condition under Pakistan’s $7 billion IMF bailout programme. The government aims to offload loss-making state-owned enterprises through similar transactions.
Background of PIA’s Decline
Asif linked PIA’s downfall to events in 2020. He referred to a statement by a former aviation minister regarding fake pilot licences. Following that statement, European and UK authorities banned PIA flights.
These routes were among the airline’s most profitable. Several foreign airlines also grounded Pakistani-origin pilots. The situation worsened after a tragic plane crash near Karachi.
Restructuring and Recovery Efforts
The defence minister said PIA was close to bankruptcy before restructuring. The government absorbed major liabilities to stabilise the airline. He called the PIA sale a success against this difficult backdrop.
PIA has since resumed flights to Manchester. It also holds permission to operate routes to London, Birmingham, New York, and several European destinations.
Government’s Share and Future Plans
The government will receive 7.5 percent of the sale amount. Most of the funds will be reinvested to increase the airline’s value. Asif said the state still owns 25 percent of PIA shares.
He stressed that privatisation is necessary to stop continuous financial losses. According to him, similar steps will follow for other loss-making entities.
