Aviation minister fears Rs259bn loss if PIA not privatised
Business
The Minister emphasized the need of FDI and administrative control to private sector to sustain PIA
ISLAMABAD (APP): Minister for Aviation, Khawaja Saad Rafique, on Friday, warned that Pakistan International Airlines (PIA) may suffer alarming losses of Rs259 billion by the year 2030 if urgent corrective measures are not implemented, which includes the transfer of its administrative control to the private sector.
While presenting “The Pakistan International Airlines Corporation (Conversion) (Amendment) Bill, 2023” for passage in the Senate, the Minister emphasized the necessity of Foreign Direct Investment (FDI) and granting administrative control to the private sector to sustain PIA. The airline is facing a daunting debt burden of Rs742 billion.
However, due to severe opposition from Senators, the Senate Chairman referred the matter to the standing committee concerned, stating that the injection of FDI and administrative control to the private sector was essential to make PIA a profitable entity.
Saad Rafique claimed that former minister Ghulam Sarwar Khan’s reckless statement has resulted in PIA incurring losses amounting to Rs71 billion in the European Union and United Kingdom sectors.
Amidst the proceedings, PTI lawmakers raised the issue of quorum, leading the chairman to call for a fifteen-minute bell ringing. However, once the quorum was satisfied, the House proceedings resumed.
The Senate Chairman referred the bill to the relevant standing committee for further perusal.
