Federal Information Minister Attaullah Tarar on Wednesday said the privatisation of Pakistan International Airlines (PIA) marks the beginning of a journey to restore the national carrier’s lost glory and end years of financial strain on the public exchequer. Addressing a press conference in Islamabad alongside Adviser on Privatisation Muhammad Ali, Tarar termed the transaction a historic milestone for the country.
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He said the sale of a 75 per cent stake in PIA for Rs135 billion reflected the government’s commitment to reform loss-making state-owned enterprises through transparent and competitive processes. Tarar stressed that PIA’s recurring losses would no longer be financed by taxpayers’ money, adding that the privatisation was conducted in an open and well-managed manner to ensure credibility and investor confidence.
Investment and reform can strengthen PIA through better operations, sustainability, and service quality for Pakistan.
Official updates: https://t.co/84NmfWfgZb#MinistryOfPrivatisation #PIA #PIACL #InstitutionalRevival #Aviation #Sustainability #ServiceQuality pic.twitter.com/AWvvdeRQNe
— Ministry of Privatisation, Government of Pakistan (@PrivComPakistan) December 24, 2025
Speaking on the occasion, Muhammad Ali said the shift to private ownership was expected to significantly improve service standards and operational efficiency at the airline. He noted that commercial entities generally perform better under private management, and fresh investment would help modernise PIA through induction of new aircraft and upgrades to the existing fleet.
The adviser credited the successful completion of the privatisation process to coordinated efforts by all stakeholders over the past six months, carried out under the guidance of Prime Minister Shehbaz Sharif, Deputy Prime Minister Ishaq Dar, and Chief of Army Staff Field Marshal Asim Munir. He said strong institutional support played a key role in reaching this outcome.
Ali clarified that PIA’s real estate assets were excluded from the deal, while the government secured an economic return of Rs55 billion. He added that the airline’s most valuable asset remains its international landing rights, which give it access to key global routes.
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Currently, PIA operates flights to 30 destinations with a fleet of 18 aircraft, including 12 leased and six owned planes. The adviser further confirmed that liabilities worth Rs182 billion have been transferred to the buyer, significantly easing the financial burden on the government and paving the way for a fresh start for the national carrier.