- All concerns of the interested parties discussed correctly: Aleem Khan
- Said a new plan in progress to make the privatization of the PIA more attractive
- PIA ready to become profitable again due to new measures, he said.
The Minister of Investment and Privatization Abdul Aleem Khan said Thursday that the government would end the process of privatization of Pakistan International Airlines (PIA) in the next three months.
In a statement, the Minister of Privatization said: “All the concerns of the parties interested in the airline privatization process have been treated correctly.”
He said that the government had decided to make changes according to the preferences of the parties interested in buying a PIA stake.
“To make the privatization of PIA more attractive, a new roadmap is provided, and it is expected that all the stages of this privatization process will be completed in the next three months,” he added.
The Minister stressed that there is a wait for better expressions of interest on the part of investors this time, because the introduction of PIA flights to Europe has made the environment of privatization more lucrative and favorable.
“Due to recent measures, the national airline is ready to become profitable again,” he added. Abdul Aleem also shared that after Europe, flights to the United Kingdom would begin in the next three months.
He stressed that the PIA is the first choice for travel for the 240 million Pakistani. After Europe and the United Kingdom, thefts to the United States and the Far East will be functional in the next phase, said the minister.
The Minister of Privatization assured that with positive stages, the credibility of the PIA is restored and the airline would be brought back to its peak.
He also said that he was not in doubt that PIA still has the potential to become profitable again. The minister expressed hope that this time, the privatization process would be better and more achievable, which would also have a positive impact on the overall privatization process.
The government is about to invite expressions of interest (EOIS) for the privatization of the PIA in March, aimed at transferring the airline to private hands before the end of the financial year, the news reported an official of the privatization commission in
The previous attempt to privatize PIA has failed due to investor concerns, but the main obstacles have now been erased, the official added.
The International Monetary Fund (IMF) approved a renunciation of the general sales tax of 18% for new aircraft purchases and has allowed the government to absorb negative equity of 45 billion RS 45 rupees, according to the report published in February.
During a meeting of the Standing Committee of the National Assembly on the privatization chaired by MNA Faroo Sattar, USMAN Secretary Bajwa informed legislators of the current process and revealed that $ 4.3 million of advisory fees of $ 6.8 million in Ernst & Young had already been paid.
The Committee was also informed of the PIA Real Estate holdings, including 26 properties under PIA Holdings and five under the airline itself. A main plot in the Islamabad blue zone, worth 10 to 12 billion rupees, remains under study. In addition, Pia Holdings has seven properties abroad, including Scribe Hotel in Paris and Roosevelt Hotel in New York, which are classified as commercial properties. The current rental contract of the Roosevelt hotel will expire in May and the process of leaving the property will start with a three -month notice period.