Govt to invite fresh bids for PIA sale next week

ISLAMABAD: The federal government will invite fresh expressions of interest next week for the sale of Pakistan International Airlines (PIA), the Ministry of Privatisation announced on Thursday.

The move follows the national carrier’s first annual profit in over two decades and is part of broader reforms under a $7 billion International Monetary Fund (IMF) programme.

The Privatisation Commission Board has approved the pre-qualification criteria for potential bidders and endorsed the decision to seek new offers for a 51% to 100% stake in the loss-making airline.

Last year, a privatisation attempt failed after the government received a single offer, which fell significantly below the expected valuation of over $300 million.

Officials attributed the failure to unresolved concerns from bidders, many of which have now been addressed.

To make the offer more viable, the government has transferred almost all of PIA’s legacy debt onto its own books, easing the financial burden for future investors.

Read: Govt to invite bids for PIA sale next week

Muhammad Ali, the government’s adviser on privatisation, confirmed last week that all major objections raised during the previous bidding round had been resolved.

The government aims to reform struggling state-owned enterprises and generate funds to support the country’s economic recovery plan.

The announcement is seen as a renewed push to revive investor interest and meet structural benchmarks agreed with the IMF, while paving the way for a more commercially sustainable national airline.