ISLAMABAD: The government will invite bids next week for the sale of Pakistan International Airlines (PIA), the privatization ministry announced on Thursday. This comes just days after the struggling national airline reported its first annual profit in over two decades.
The government plans to sell a 51% to 100% stake in PIA as part of efforts to raise funds and reform loss-making state-owned companies under a $7 billion International Monetary Fund (IMF) program. Last year’s attempt to privatize PIA failed after only one low offer was received—far below the $300 million asking price.
The Privatization Commission has now approved new bidding terms, including eligibility criteria for potential buyers. Officials say all issues from last year’s failed attempt have been resolved.
Alo read:PIA returns to profit after 21 years
In a major turnaround, PIA posted a net profit of Rs26.2 billion ($94 million) for 2024, its first profit since 2003. The airline also reported an operational profit of Rs9.3 billion ($33 million).
To attract buyers, the government has moved most of PIA’s historic debt to public accounts. Adviser on Privatization Muhammad Ali stated that previous concerns from bidders have been addressed.
