ISLAMABAD: The federal government is set to invite fresh expressions of interest (EoIs) for the privatisation of Pakistan International Airlines (PIA) by the last week of April 2025, a key government adviser confirmed on Thursday.
The move comes just days after PIA posted its first annual profit in over 20 years, signaling renewed investor interest and improved financial viability.
Balance Sheet Cleaned Up, Taxation Issues Resolved
Muhammad Ali, the government’s adviser on privatisation, said earlier pre-qualified bidders had expressed concerns over taxation complexities and the airline’s balance sheet, but those issues have now been resolved.
“We plan to publish the new Expression of Interest (EoI) by the last week of April 2025,” Ali told reporters.
“We are also revising the pre-qualification criteria and might revise the reference price based on the improved financials.”
The government aims to complete the privatisation process before the end of this year, as part of broader efforts to offload loss-making state-owned entities and attract foreign investment.
Roosevelt Hotel in NYC: Sale or Joint Venture in the Works
Ali also confirmed that Jones Lang LaSalle (JLL), a leading global real estate advisory firm, has been appointed to evaluate options for the PIA-owned Roosevelt Hotel in Manhattan, New York.
Options on the table include:
- Outright sale of the property
- A joint venture with a top-tier real estate developer
The latter could potentially yield up to five times more in proceeds, according to Ali.
Privatisation of Power Distribution Firms Also Accelerated
The adviser noted that the government is also prioritising the privatisation of power distribution companies, with some companies previously planned for the second phase now being pushed into the first phase to expedite the process.
“These are high-priority transactions. We are accelerating efforts across multiple sectors to bring efficiency, reduce fiscal burden, and attract strategic investments.”
Background: A Shift in PIA’s Fortunes
PIA’s rare profitability comes after years of crippling debt, operational inefficiencies, and international flight restrictions. Recent structural reforms, fleet optimisation, and a government-backed bailout package have helped stabilize the carrier — making it more attractive to potential buyers.
