ISLAMABAD: Pakistan on Thursday formally completed the privatisation of Pakistan International Airlines (PIA), handing operational control of the national carrier to a consortium led by Arif Habib Corporation, government officials confirmed.
Transaction documents were signed in Islamabad between representatives of the Government of Pakistan and the investor group, finalising the transfer of ownership and management responsibilities.
Under the agreement, the Arif Habib-led consortium will oversee PIA’s operational revival, including fleet modernisation, service improvements and a commercial turnaround strategy aimed at restoring profitability in domestic and international markets.
Officials said the new owners plan to expand PIA’s fleet to 38 aircraft from the current 18 and recruit skilled personnel to support operations. Existing employees will be protected from layoffs for one year, after which staff retention will be based on performance reviews.
The privatisation follows the government’s sale of a 75 percent stake in PIA for Rs135 billion as part of broader economic reforms tied to commitments with international lenders.
According to official disclosures, the ownership structure includes Arif Habib Corporation and Fatima Fertilizer Limited with a combined 25 percent stake, Fauji Fertilizer Company Limited holding 25 percent, and the remaining 25 percent shared by AKD Group, City Schools and Lake City Holdings.
Government officials said the transaction is expected to ease fiscal pressure while enabling private-sector management to reposition the airline as a competitive regional carrier.
