PIA for Sale: Govt Sets Rs100 Billion Bid Bar
ISLAMABAD: The government’s efforts to privatize Pakistan International Airlines (PIA) have intensified once again, and this time the minimum bid price is expected to be kept above Rs 100 billion.
The government has directed investors to submit their expressions of interest to the Privatization Commission by June 3, 2025. This time, only those investors who are financially qualified will be able to participate in the bidding.
According to sources, the buyers will be provided with a complete description of PIA’s assets, after which the stage of receiving bids and opening the tender will be decided.
The government has declared PIA a profitable entity, according to which the company earned a net profit of Rs 26.2 billion in 2024, its first major financial breakthrough in 21 years.
In the first phase of privatization conducted in October 2024, only one company, “Blue World City”, bid Rs 10 billion, which was far below the minimum target of Rs 85 billion set by the government. As a result, the bid was rejected.
A breakthrough for PIA came when the European Aviation Safety Agency (EASA) lifted its ban on flights to Europe in November 2024. This development restored the reputation of the company and restored investor confidence.
The government expects several large companies to participate in the competitive bidding this time in light of financial improvement, debt transfer, and resumption of international flights. The privatization process is planned to be completed by the end of 2025.
