PIA Privatisation to Proceed Within Set Timeframe, Directs PM

Prime Minister Shehbaz Sharif has instructed relevant departments to guarantee the privatisation of Pakistan International Airlines (PIA) is completed within the designated timeline. This directive was issued during a review meeting focused on the national carrier’s privatisation process, according to a statement released by the Prime Minister’s Office (PMO).

The prime minister received updates on the auction process, the projected schedule, and the requirements for participation in the bidding during the session.

“PM directed that the privatisation of PIA be ensured within the proposed timeframe,” the PMO stated.

Government Seeks Fresh Bids for Airline

The premier further directed the organization of roadshows and assured investors of complete transparency during the airline’s privatisation.

“Transparency should be given central importance in the privatisation process of the PIA,” he emphasised, while instructing that the sale of all state-owned businesses be broadcast on television and digital platforms.

“PM Shehbaz was briefed that a comprehensive investor outreach strategy had been developed in collaboration with the consultant, and was being fully implemented,” the PMO statement further noted.

On the preceding Thursday, the government announced it was soliciting new proposals for the privatisation of PIA, signalling a renewed push to divest its ownership in the airline.

The Privatisation Commission (PC) has officially invited expressions of interest (EOIs) from potential investors keen on acquiring a controlling interest in the revamped airline via public advertisement.

Details for Interested Parties

“Interested parties that are companies, firms, body corporate or other legal entities should submit EOIs (as a single entity or as a consortium)………with non-refundable processing fee of $5,000 or Rs1,400,000.

“Where an interested party is submitting an EOI as a consortium, the processing fee is only required to be paid by one member of the consortium……The EOI must be available with the Privatisation Commission and the processing fee must be paid, on or before 16:00 Hours, on Tuesday, June 3, 2025,” the notification specified.

The government aims to divest a 51-100% stake in the debt-laden airline to generate revenue and restructure struggling state-owned enterprises (SOEs), in line with a $7 billion agreement with the International Monetary Fund (IMF).

An initial privatisation attempt for PIA last year was unsuccessful, attracting only one bid that fell significantly short of the minimum asking price of over $300 million.