On Monday, it was informed to the parliamentary committee that Pakistan International Airlines Corporation Limited is expected to be privatized by November this year.
As the government proceeds with reforms of state-owned businesses that are losing money under the IMF program, Pakistan International Airlines (PIA) is anticipated to be privatized by November 2025.
Four companies have been approved to participate in the process, and pre-bid conferences and site visits have already begun, according to information provided to the Senate Standing Committee on Privatization.
Fauji Fertilizer Company and Airblue are two of the cleared companies; in order to be eligible for the final bid, they must both establish alliances with well-known airlines. Due to their failure to meet the necessary requirements, two additional applicants were eliminated.
The action is taken as PIA continues to suffer significant financial losses, more than $2.5 billion over the last ten years and recurrent government bailouts that have put pressure on Pakistan's already precarious economy.
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In November 2024, the government turned down the only bid for a majority stake, which was for PKR 10 billion at a valuation of PKR 85 billion. Authorities have since made an effort to draw in reliable bidders.
Recent events, such as the European Aviation Safety Agency's decision in late 2024 to lift PIA's four-and-a-half-year ban, have increased investor interest and allowed the airline to resume flights to Europe in January 2025.
This is a big step toward making the airline more appealing before the privatization process begins, according to officials and industry experts.
One of Pakistan's biggest privatization campaigns in recent memory will take place in November, and the results of the bidding round could influence future economic reforms.
