A consortium led by prominent Pakistani businessman Arif Habib has successfully acquired a 75 % majority stake in Pakistan International Airlines (PIA), marking a major milestone in the government’s long‑running effort to privatise the national flag carrier.
The consortium’s winning bid of Rs 135 billion (approximately $482 million) outpaced rival offers, securing managerial control of PIA after a competitive, publicly televised auction process.
Strategic Vision and Economic Rationale
Arif Habib, speaking after the deal was confirmed, framed the acquisition as a strategic catalyst for Pakistan’s broader economic rebound. According to statements circulated by local business outlets, he believes private sector management and targeted investment will strengthen PIA’s operational performance and contribute positively to the country’s economy.
In official remarks, Habib commended the experience and professionalism of PIA’s existing workforce and signalled plans to retain skilled employees as operational partners in the airline’s restructuring.
Expansion Plans and Workforce Role
As part of the new ownership’s roadmap, the consortium has outlined an ambitious fleet expansion strategy. Sources indicate plans to grow PIA’s current operational fleet of 18 aircraft to approximately 65 units in phased increments, with upgrades aimed at both regional and international capacity.
Habib emphasised that existing PIA talent will remain central to the carrier’s turnaround, with experienced staff retained and integrated into future scaling efforts. Additionally, there are indications of potential collaboration with Fauji Fertilizer Group and other industrial partners to support capital and operational requirements, although formal details of these arrangements are still emerging.
Privatisation and Reform
The transaction concludes years of stop‑start privatisation attempts for PIA, which has historically been burdened by financial losses, legacy debt, and operational inefficiencies. The current sale was executed under a transparent bidding framework, with the government and Privatisation Commission overseeing a competitive process designed to attract credible investors and safeguard public interest.
Under the terms of the sale, the federal government retains a 25 % minority stake, and 92.5 % of sale proceeds are earmarked for reinvestment into PIA’s future operations.
