Prime Minister Shehbaz Sharif on Friday directed the relevant authorities to ensure transparency in the privatization process of Pakistan International Airlines (PIA) within the stipulated timeframe.
This development followed a day after the federal government officially invited expressions of interest (EOIs) from potential investors for the privatization of PIA, a significant step in its effort to divest a controlling stake in the national flag carrier.
According to the Privatization Commission, the decision was made to sell between 51% and 100% of PIA shares, along with management control, to the prospective buyer. Interested parties have until June 3, 2025, to submit their EOIs.
During a meeting held today to review the ongoing privatization process of the national airline, PM Shehbaz emphasized that transparency must be central to the airline’s privatization procedure.
He also directed the relevant authorities to ensure the privatization is completed within the given timeframe. Highlighting the importance of roadshows and fully engaging investors in the privatization process, the Prime Minister ordered that to ensure transparency, the privatization and all future state-owned enterprise dealings must be broadcast live on television and digital platforms.
The meeting was informed that a comprehensive investor outreach strategy had been developed in collaboration with the consultant and was being fully implemented.
The Prime Minister was also briefed on the bidding criteria, the required time period, and the conditions for participating in the bidding process.
Speaking to the media after the meeting, Adviser to the Prime Minister on Privatization, Muhammad Ali, assured that the future of approximately 6,900 employees of the national airline was secure.
“We have learned from past mistakes,” he said, adding that bidders would be given 60 days to review the accounts.
“The bidding company for the national airline must have a revenue of Rs200 billion in two years,” he stated, adding that companies participating in the bid must have Rs30 billion in cash or shares.
He further announced that the 18% GST imposed on the lease or purchase of aircraft had been abolished.
The adviser clarified that no provincial government can participate in the PIA privatization process
