In a bold move, the Khyber Pakhtunkhwa (KP) government has expressed its desire to acquire Pakistan International Airlines (PIA) by offering a bid exceeding 10 billion rupees. The KP Board of Investment has formally reached out to the federal Ministry of Privatization, signaling its intention to participate in the ongoing bidding process.
In a letter from the KP Board of Investment, authorized by Chief Minister Ali Amin Gandapur, the government emphasized its commitment to securing PIA as a national asset and symbol of the country. The letter stated, “We aim to acquire the national airline for an amount greater than the current bid of 10 billion rupees.”
The KP Board of Investment further articulated that PIA should remain under national ownership and not fall into the hands of any local or foreign private entity. They assert that they are prepared to offer more than the current bid to ensure this valuable asset stays within the country.
Recent events in Islamabad revealed that only one bidder, Blue World City Consortium, had offered just 10 billion rupees for a 60% stake in PIA, far below the established minimum bid of 85 billion 3 crore rupees. This has raised concerns among privatization officials regarding the future of PIA’s privatization and the overall stability of the aviation sector.
Chaudhry Saad Nazir, Chairman of the bidding consortium, highlighted the airline’s significant liabilities of 200 billion rupees, remarking, “For 85 billion rupees, you could easily start a new airline.”
As the situation develops, the KP government’s intervention may introduce new dynamics into the bidding process, leaving stakeholders eager to see how this will impact the future of PIA.