Pakistan is set to complete the long-delayed privatisation of its loss-making national carrier, Pakistan International Airlines (PIA), by November 2025, officials informed the Senate Standing Committee on Privatization.
Four companies have been prequalified to bid for PIA, including a consortium of Lucky Cement, Hub Power Holdings, Kohat Cement, and Metro Ventures, alongside investment firm Arif Habib Corp. and partners.
Other bidders include Fauji Fertilizer Company, a military-backed conglomerate, and Pakistani airline Airblue. Officials noted that two applicants were disqualified for failing to meet required standards for the airline’s operations.
The privatization plan requires participating firms to form consortiums with established airlines to ensure operational efficiency. Officials highlighted progress on previous recommendations and updates on phasing out the single-buyer model for state enterprises.
PIA has been a costly government liability, accumulating over $2.5 billion in losses over the past decade. Repeated bailouts have heavily strained Pakistan’s national budget and delayed financial recovery of the airline.
The airline resumed flights to Europe and the UK earlier this year after a four-and-a-half-year ban. However, it remains barred from operating flights to the United States due to past safety concerns.