PIA suffers Rs8.56bn loss over delay in sale of grounded aircraft parts

Pakistan International Airlines (PIA) has suffered a total loss of Rs8.56 billion due to the failure to sell additional spare parts of grounded aircraft in a timely manner.

A meeting of the Public Accounts Committee (PAC), chaired by Syed Naveed Qamar, was held in Islamabad on Wednesday, where several key financial and administrative matters were reviewed, including the audit report of Pakistan International Airlines for 2023–24

During the meeting, the committee was briefed in detail on losses incurred from grounded aircraft and unsold spare parts, PIA’s financial position, privatisation-related issues, and various audit objections.

PIA officials informed the committee that the airline incurred cumulative losses of Rs8.56 billion due to delays in the sale of spare parts from grounded aircraft.

According to officials, spare parts worth Rs3.8 billion have so far been auctioned, while the remaining parts have been transferred to PIA’s buyer.

The meeting was told that PIA currently has six aircraft that are unfit for operation, while retired aircraft have already been handed over to the buyer.

The assets sold include grounded aircraft and their components.

The committee also discussed two PIA-owned properties from which Rs2.61 billion was recoverable from the Sindh government.

PIA officials stated that both properties have now been transferred to a holding company, following which the PAC disposed of the related audit objection.

The committee also reviewed the audit report of the Ministry of Defence, which highlighted irregularities amounting to Rs12 million during procurement by the Airports Security Force.

The Defence Secretary accused audit officials of raising unjustified objections; however, PAC Chairman Syed Naveed Qamar said that it was inappropriate to level such allegations at a forum of this stature.