Government announces Pakistan International Airlines auction on October 1

View of a Pakistan International Airlines (PIA) passenger plane, taken through a glass panel, at Islamabad International Airport, Pakistan, on October 3, 2023. (REUTERS/File)
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Updated 20 September 2024
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Government announces Pakistan International Airlines auction on October 1

  • Decision is significant since it has been recommended by IMF to privatize lossmaking state entities
  • PIA is burdened with debt amounting to $2.9 billion and has lost some lucrative routes in recent years

ISLAMABAD: Pakistan’s Privatization Commission Board on Friday announced the auction of the country’s national air carrier on October 1 in an official statement released after holding a meeting to evaluate the ongoing sales process.

The government has been seeking to sell Pakistan International Airlines (PIA), which has been burdened with debt amounting to Rs800 billion ($2.9 billion), after approving several bailout packages at the request of its management to cover operational expenses in the past.

The country initially wanted to finalize the airline’s privatization deal on its Independence Day, August 14, but the process was delayed following requests from bidders awaiting PIA’s latest audited accounts, aircraft lease agreements and clarity on flights to Europe, which have remained suspended for nearly four years.

“The bidding for PIA’s privatization is scheduled to take place on October 1, 2024,” the statement said.

It informed the board meeting considered the recommendations of its financial adviser to amend the document containing the criteria related to potential bidders to ensure a smoother sales process.

“The board reviewed the current status of PIA’s privatization and considered the financial adviser’s recommendations regarding permissible changes under the Request for Statement of Qualification (RSOQ) terms,” it said.

The Privatization Commission has pre-qualified six bidders, which include Fly Jinnah, a consortium led by YB Holdings (Private) Limited, Air Blue Limited, a consortium led by Pak Ethanol (Private) Limited, Arif Habib Corporation Limited and Blue World City.

The process is also significant since it has been recommended by the International Monetary Fund (IMF) that wants the country to privatize all lossmaking state-owned entities as part of the rationalization of national economy.

Pakistani officials have already taken up the issue of PIA flight restoration to Europe, with Deputy Prime Minister Ishaq Dar describing it as a “major priority” for the government during a five-day visit to London earlier this month.

The suspension of PIA flights followed a 2020 plane crash in Karachi that killed 97 people.

The incident was followed by a controversial statement by a former aviation minister, Ghulam Sarwar Khan, who said that a significant number of Pakistani pilots held fake licenses.

This led the European Union Aviation Safety Agency to impose a ban on PIA.


Death toll in Pakistan shopping plaza fire rises to 67, officials say

Updated 22 January 2026
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Death toll in Pakistan shopping plaza fire rises to 67, officials say

  • Rescue teams still searching for damaged Gul Plaza in Karachi where blaze erupted on Saturday, says police surgeon
  • Karachi has a long history of deadly fires, often linked to poor safety standards, weak regulatory enforcement

KARACHI: The death toll from a devastating fire at a shopping plaza in Pakistan’s southern port city of Karachi jumped to 67 on Thursday after police and a hospital official confirmed that the remains of dozens more people had been found.

Police surgeon Dr. Summaiya Syed said rescue teams were still searching the severely damaged Gul Plaza in the Karachi, where the blaze erupted on Saturday.

Most remains were discovered in fragments, making identification extremely difficult, but the deaths of 67 people have been confirmed, she said. Asad Raza, a senior police official in Karachi, also confirmed the death toll. Authorities previously had confirmed 34 deaths.

Family members of the missing have stayed near the destroyed plaza and hospital, even after providing their DNA for testing. Some have tried to enter the building forcibly, criticizing the rescue efforts as too slow.

“They are not conducting the search properly,” said Khair-un-Nisa, pointing toward the rescuers. She stood outside the building in tears, explaining that a relative who had left to go shopping has been missing since the blaze.

Another woman, Saadia Saeed, said her brother has been trapped inside the building since Saturday night, and she does not know what has happened to him.

“I am ready to go inside the plaza to look for him, but police are not allowing me,” she said.

There was no immediate comment from authorities about accusations they have been too slow.

Many relatives of the missing claim more lives could have been saved if the government had acted more swiftly. Authorities have deployed police around the plaza to prevent relatives from entering the unstable structure, while rescuers continue their careful search.

Investigators say the blaze erupted at a time when most shop owners were either closing for the day or had already left. Since then, the Sindh provincial government has said around 70 people were missing after the flames spread rapidly, fueled by goods such as cosmetics, clothing, and plastic items.

The cause of the fire remains under investigation, though police have indicated that a short circuit may have triggered the blaze.

Karachi has a long history of deadly fires, often linked to poor safety standards, weak regulatory enforcement, and illegal construction.

In November 2023, a shopping mall fire killed 10 people and injured 22. One of Pakistan’s deadliest industrial disasters occurred in 2012, when a garment factory fire killed at least 260 people.