Pakistan to miss IMF deadline for PIA privatisation, says adviser

ISLAMABAD: Pakistan will miss its July 2025 deadline set by the International Monetary Fund (IMF) for the privatisation of Pakistan International Airlines (PIA), ARY News reported on Friday.

Muhammad Ali, Adviser to the Prime Minister on Privatisation and Chairman of the Privatisation Commission, confirmed that the PIA privatisation process will not be completed within the IMF’s stipulated timeframe. He stated that the process is now expected to conclude by December 2025.

He revealed that a new Expression of Interest (EoI) will be published in the last week of April 2025, allowing prospective bidders to participate in the process.

The period, during which bidders will assess the airline’s assets and balance sheet, is scheduled for July, he said. He further noted that bid evaluations will continue through September.

Notably, Pakistan’s attempt to privatise PIA last year fell flat when it received only a single offer, well below the asking price of more than $300 million.

Notably, the Pakistan International Airlines (PIA) Board of Directors has officially approved the airline’s financial results for 2024, marking a major milestone as the national carrier reported its first net profit in 21 years, ARY News reported.

According to the approved financial statement, PIA recorded an operational profit of Rs 3.9 billion and a net profit of Rs 2.26 billion for the year 2024. This marks the airline’s first profitable year since 2003.

The airline’s operating margin stood at over 12 percent, a figure comparable to the performance of some of the world’s leading airlines.

PIA’s return to profitability is being credited to wide-ranging reforms carried out under the supervision of the Government of Pakistan.

These reforms included reducing workforce and operational costs, consolidating profitable routes, eliminating loss-making routes, and restructuring the airline’s balance sheet.