Islamabad: Pakistan International Airlines (PIA) is set to enter a new era of privatization after the Cabinet Committee on Privatisation (CCoP) endorsed the Rs135 billion bid submitted by a consortium led by Arif Habib Group for a 75 percent stake in the national carrier. The committee recommended the deal for final approval by the federal cabinet.
The consortium’s winning bid came in 35 percent above the government’s reference price, with a commitment to invest an additional Rs80 billion over the next five years to revive the airline. The Privatisation Commission, chaired by Adviser to the Prime Minister Muhammad Ali, conducted the bidding process at a local hotel in Islamabad last week.
At the CCoP meeting, presided over by Deputy Prime Minister and Foreign Minister Senator Mohammad Ishaq Dar, the secretary of the Ministry of Privatisation briefed members on the future course of action for Pakistan International Airline Holding Company Limited (PIACL). All concerned authorities are urged to take timely action to ensure the early finalisation of the privatisation, with the hope that PIA will regain its former glory, Senator Dar said in a statement.
The meeting was attended by key ministers, federal secretaries, advisors, and special assistants to the Prime Minister, reflecting the government’s commitment to a smooth transition in PIA’s management.
Meanwhile, the Pakistan International Airlines Retired Employees Association (PIAREA) expressed gratitude to the government for guaranteeing continuation of allowances and other benefits following the airline’s privatisation.
During its 16th annual gathering chaired by Syed Tahir Hassan, the association acknowledged assurances that pensions, medical facilities, and concessional travel tickets for retired employees will remain unaffected. Office-bearers especially thanked the Prime Minister, Chairman of the Privatisation Commission Muhammad Ali, and PIAHCL Chairman Tariq Bajwa for their support.
The retired employees described the government’s decision as a significant step towards safeguarding the welfare and well-being of PIA’s former staff, ensuring their security during the airline’s transition to private management.
The successful bid and government assurances mark a major milestone in Pakistan’s long-standing efforts to privatize its struggling national carrier.