KARACHI: Pakistan International Airlines’ shareholders have given approval for airline’s restructuring, likely to occur by July-August 2024. This move anticipates encountering no political resistance to sell-off of core operations, potentially to foreign investors due to need for foreign exchange, as recommended by International Monetary Fund. During Extraordinary General Meeting, national flag carrier’s management reported achieving an ‘operating profit’ for first time in 13 years. Management projected resumption of flights on two major European routes, including Paris and to UK city by June, aiming to increase earnings from these profitable routes.

PIA spokesperson informed that airline conducted poll to seek consent from shareholders to transform PIA Corporation Limited into PIA Holding Limited by bifurcating it into two segments-Corporate Undertaking and Non-Core Undertaking. “Shareholders overwhelmingly voted in favour of (creating) PIA Holding Company.” Prominent participants at meeting included federal secretary of Privatisation Commission, secretary aviation, legal experts from financial advisor and PIA’s board of directors. PIA privatisation is core recommendation from IMF, as government negotiates to secure new loan package from leading global creditor.

Earlier, Aviation Ministry was quoted as reporting that seven international investors have expressed interest in acquiring Pakistan’s national flag carrier and airports, which country has put up for sale.

Published in The Daily National Courier, April, 22 2024

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