ISLAMABAD: Prime Minister Shehbaz Sharif on Thursday said the “glory days” of Pakistan International Airlines (PIA) would return under new management, as the government formally signed transaction documents for the airline’s privatisation.
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“PIA will reach new heights under the leadership of the Arif Habib Consortium. The airline will improve performance, punctuality, cabin service and professional standards,” the prime minister said during the signing ceremony.
The event was attended by Chief of Army Staff and Chief of Defence Forces Field Marshal Syed Asim Munir, Deputy Prime Minister Ishaq Dar, and federal ministers. PM Sharif congratulated the nation on the completion of the transaction, describing Arif Habib and his team as “distinguished business ambassadors” committed to Pakistan’s progress. He said passenger comfort and safety would be the consortium’s first priorities.
PIA privatization completed – Pakistan officially hands over PIA to consortium led by Arif Habib Corporation. Transaction documents signed. pic.twitter.com/emJUZLAx2W
— Mansoor Ahmed Qureshi (@MansurQr) January 29, 2026
Recalling PIA’s past, the prime minister noted the airline had been at its peak in the 1960s, with a recognised presence domestically and in international capitals. He praised the role of federal ministers and Adviser on Privatisation Muhammad Ali in facilitating a transparent process, which was broadcast live.
The privatisation bidding closed at Rs180 billion, of which the consortium will invest Rs135 billion in modernising and improving PIA. PM Sharif expressed hope that the airline would regain its past prestige through “untiring efforts and innovation.”
Meanwhile, the National Assembly Standing Committee on Privatisation, chaired by Dr Muhammad Farooq Sattar, sought detailed information on the deal, including employee participation, consultation mechanisms, and grievance redress. The committee was also briefed on other ongoing privatisation initiatives, including the installation of 1.61 million Advanced Metering Infrastructure (AMI) meters, the partial privatisation plans for Pakistan Re-Insurance Company Limited (PRCL), and proposed private-sector participation in Sukkur Electric Power Company Limited (Sepco).
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The committee emphasised that consumer protection, regulatory oversight by Nepra, and employee safeguards must remain central to all privatisation and reform efforts