By Staff Reporter
ISLAMABAD: Pakistan will hold bidding for the privatisation of the national airline on Dec. 23, with the process to be broadcast live on media outlets, Prime Minister Shehbaz Sharif said, marking the government’s most aggressive push in decades to offload the debt-laden carrier.
The sale of a 51% to 100% stake in Pakistan International Airlines Corp. is aimed at raising funds and reforming cash-draining state-owned enterprises under a $7 billion International Monetary Fund program. It would be the country’s first major privatization in nearly two decades.
Four bidders have been pre-qualified for the sale: a consortium led by Lucky Cement Ltd. that includes Hub Power Holdings Ltd., Kohat Cement Co. and Metro Ventures Pvt.; a consortium headed by Arif Habib Corp. with Fatima Fertilizer Co., The City School and Lake City Holdings; Fauji Fertilizer Co., part of a military-backed conglomerate; and Airblue Ltd., a private Pakistani airline.
Sharif made the announcement during a meeting with representatives from the corporate entities participating in the privatisation process, according to a statement from his office posted on X by state broadcaster PTV News. “PIA’s bidding will take place on December 23, 2025, which will be broadcast live on all media,” Sharif was quoted as saying.
He said the process was proceeding smoothly to restore the national carrier’s “lost prestige” and align it with modern requirements. “Soon, PIA will once again live up to its tradition of ‘Great People to Fly With’,” Sharif said, referring to the airline’s tagline. “We are ensuring transparency and merit in the privatisation process of PIA.”
The prime minister said the restoration of PIA’s flights worldwide would provide convenience to overseas Pakistanis, stressing that aligning it with modern requirements was “extremely essential” for the tourism sector’s development. “I am hopeful that whoever among you takes on this important responsibility after the bidding will focus all their energies on restoring the prestige of the national airline and its development.”
The development comes after repeated delays in the sale. A parliamentary committee was informed in September that the airline was expected to be privatised by November. Sharif directed authorities on Nov. 20 to expedite and complete all phases of the privatisation with complete transparency. But the target was missed, and last week the National Assembly Standing Committee on Privatisation sought a clear timeline to complete the ongoing bidding process and directed that it be accelerated.
In November, Pakistan’s privatization chief Muhammad Ali had said the government aimed to finalize the airline’s sale by October, but the target was missed due to delays in restructuring and valuation. Last month, Sharif said Pakistan will privatise 75% of the national carrier, with bidding to take place among four shortlisted investor groups. “The privatization process is proceeding smoothly to restore PIA’s lost identity and to align the national airline with modern requirements,” he said at the time. “God willing, very soon PIA will once again live up to its tradition of being ‘Great People to Fly With’,” Sharif added.
Once a leading global airline, PIA resumed European flights in January after a four-year EU ban linked to safety concerns. A previous attempt to sell the airline failed as a $36 million bid from real estate firm Blue World City fell short of the $305 million floor price, with concerns over debt, staffing and limited control.
The decision marks Islamabad’s most aggressive push in decades to reform the debt-ridden airline, which has accumulated more than $2.5 billion in losses and become a major burden on the national budget. Privatising the airline is also a key requirement under Pakistan’s $7 billion IMF program agreed in September 2024.
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