In a landmark move aimed at reviving a long-struggling national institution, Pakistan has successfully privatized Pakistan International Airlines Corporation (PIA), selling it to a consortium led by prominent businessman and economist Arif Habib. The development is being viewed as a turning point for the loss-making airline, which has faced years of financial and operational challenges.
The Arif Habib-led consortium secured the highest bid of Rs135 billion, emerging as the winner in the privatization process. Following the auction, Arif Habib outlined an ambitious roadmap to restore PIA’s past stature and significantly expand its operations. A key part of the plan includes increasing the airline’s active fleet from the current 18 aircraft to 38 in the initial phase, with a long-term goal of expanding to 65 planes. This expansion is expected to more than double PIA’s operational capacity and improve route connectivity.
Addressing the media in Islamabad, Arif Habib described the privatization as a national achievement. He praised the government for conducting what he termed a transparent and credible process, adding that the successful sale would boost international investor confidence in Pakistan. According to him, foreign investment inflows are likely to increase as economic stability and reform efforts gain momentum.
This marks the first time in PIA’s history that the airline will be managed by a non-government entity. Arif Habib reflected on the carrier’s peak years and pledged to restore its reputation, rebuild trust among employees, and create new job opportunities nationwide. He emphasized that staff morale and professional management would be central to the airline’s revival strategy.
Before the consortium formally takes over operations, the transaction must receive approval from the Privatization Commission, followed by clearance from the federal cabinet’s privatization committee and final endorsement by the federal cabinet.
Meanwhile, Privatization Advisor Muhammad Ali reassured stakeholders that safeguards are in place. He stated that if the winning consortium fails to meet its contractual commitments, an alternative bidder is prepared to assume control.
In yesterday’s bidding event, PIA Sold to Arif Habib Consortium for Rs. 135 Billion
With plans focused on fleet expansion, operational reforms, and attracting foreign capital, the takeover is being seen as the beginning of a new chapter for PIA—one that could redefine the future of Pakistan’s national airline and restore its standing in the global aviation industry.
