On Monday, the Secretary of the Privatization Commission told the National Assembly Standing Committee on Privatization that Pakistan International Airlines (PIA) would need a minimum of $500 million in fresh investments to achieve profitability and self-sustainability.
He stated that any investor acquiring PIA must inject $500 million to overhaul the airline. He emphasized that PIA’s profitability depends on this significant investment, highlighting the airline’s current unsustainable financial state for maintaining its aircraft.
The meeting was also informed about Gulf countries’ reluctance to invest in PIA.
The National Assembly body was informed that PIA’s early privatization could save R.s. 100 billion annually, with protection ensured for employees’ rights as well.
The panel endorsed expediting the privatization of PIA and approved the Privatization Commission Amendment Bill 2023 to accelerate the processing of privatization-related cases.
It was revealed that PIA incurs annual losses of between Rs. 80 to 100 billion, contributing to a total loss of R.s. 830 billion over recent years.
The committee was also briefed on PIA employees’ demand for a 50% salary increase, despite a 15-20% raise granted in January 2023.
