Pakistan International Airlines (PIA) has officially entered a new chapter after the Government of Pakistan finalised the sale of a majority stake in the national flag carrier as part of its long-running privatisation plan.
In a televised auction held on December 23, 2025, a private consortium led by Arif Habib Corporation emerged as the winning bidder, acquiring a 75 percent controlling stake in the airline. The deal was valued at approximately Rs135 billion (about $482 Million) granting the consortium management control of PIA.
The government will retain the remaining 25 percent stake, with provisions that may allow the buyer to acquire additional shares in the future under agreed terms. Officials said most of the transaction proceeds will be reinvested into restructuring and operational improvements aimed at restoring the airline’s financial health.
The privatisation follows years of mounting losses, heavy debt, and repeated failed attempts to offload the state-owned carrier. Authorities have described the sale as a critical step toward improving efficiency, reducing the fiscal burden on the state, and strengthening Pakistan’s aviation sector.
Industry analysts say the success of the transition will depend on effective management reforms, fleet modernisation, and the restoration of international routes in the coming years.
