PM Shehbaz, Field Marshal Asim Munir witness signing of PIA privatisation agreement

Prime Minister Shehbaz Sharif and Chief of Defence Forces (CDF) and Chief of Army Staff Field Marshal Asim Munir attended a ceremony in Islamabad on Thursday to witness the signing of documents related to the acquisition of Pakistan International Airlines (PIA).

The agreement was signed between the federal government and a consortium led by Arif Habib Corporation Limited. The consortium had emerged as the successful bidder for a 75 per cent stake in PIA for Rs135 billion during an auction held in December last year.

At the start of the ceremony, Adviser to the Prime Minister on Privatisation Muhammad Ali acknowledged the role of the prime minister and the army chief, thanking them for their “immense hard work” and “support” throughout the privatisation process.

He said that without their guidance and active engagement, this agreement was not possible.

He described the signing as one of the most important achievements of the current government, noting that the entire transaction was carried out in an efficient and transparent manner. He added that the auction was competitive and the highest bidder was selected accordingly.

The adviser further said that the privatisation of the national airline had become the largest deal ever completed under Pakistan’s privatisation programme.

He explained that total investment by the consortium members would amount to Rs180 billion, or roughly $650 million. Of this, Rs125 billion, equivalent to about $450 million, would be invested directly into PIA, while Rs55 billion, around $200 million, would be paid to the government.