KARACHI: Pakistan’s financially struggling national air carrier has recorded an operational profit of Rs9.3 billion ($33.48 million) for the first time in 21 years, the country’s defense minister Khawaja Muhammad Asif said on Tuesday.
Pakistan’s cash-strapped administration is looking to privatize the debt-ridden Pakistan International Airlines (PIA) to raise funds and overhaul state-owned enterprises as part of a $7 billion International Monetary Fund (IMF) program.
However, a previous attempt to offload a 60 percent stake in the airline failed last year after it drew just one bid — well below the asking price — highlighting investor concerns over the carrier’s viability. The new development could boost the government’s efforts to revive buyer interest.
“#PIACL Board today has approved its accounts FY 2024, and after 21 years, it has achieved an operating profit of PKR 9.3 billion & net profit of PKR 26.2 billion [$94.32 million] (after deferred tax adjustment),” Asif said in a post on social media platform X, formerly Twitter.
“People of #Pakistan might have lost hope on ‘once a pride of the nation’, but with rigorous steps adopted by the GoP, implementing comprehensive reforms entailing cost & workforce rationalization, routes optimization & financial discipline with balance sheet restructuring, PIA is poised to capitalize on financial performance through privatization process,” he added.
According to a statement from the airline’s spokesperson, the operational margin for 2024 exceeded 12 percent, a performance level the company said matches that of top global carriers.
PIA’s return to profitability is expected to enhance its market credibility and support the broader economy, it added.
Pakistan’s national flag carrier posts first profit in 21 years amid privatization push
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Pakistan’s national flag carrier posts first profit in 21 years amid privatization push
- PIA posted an operational profit of $33.48 million, with a net profit of $94.32 million in FY 2024
- Airline says its return to profitability will enhance market credibility, support national economy
Pakistan presses UN to prevent Afghan soil from being used against neighboring countries
- Pakistan, which faces a renewed surge in militancy, has frequently accused Afghanistan of allowing militant groups on its soil, an allegation Kabul denies
- Islamabad’s UN envoy says the UN Security Council has spoken with a unanimous voice and ‘it is for the Taliban to decide what path they wish to choose’
ISLAMABAD: Pakistan on Thursday urged the United Nations (UN) to prevent the use of Afghan soil by militant groups to threaten neighboring countries, saying “efforts must be made to prevent external spoilers from exploiting the situation.”
Pakistan, which has been witnessing a renewed surge in militant violence, has frequently accused Afghanistan of allowing militant groups, including the Tehreek-e-Taliban Pakistan (TTP) and the Baloch Liberation Army (BLA), to operate on its soil and India of backing them in attacks against Pakistan. Kabul and New Delhi deny the allegations.
The surge in militant violence in Pakistan triggered one of the worst skirmishes between Pakistan and Afghanistan in Oct. last year, after Islamabad hit what it called TTP targets inside Afghanistan. Pakistan has since suspended all trade with Afghanistan, despite a ceasefire reached between the neighbors in Doha that same month.
On Thursday, Pakistan voted in favor of a UN Security Council resolution that extended for 12 months the mandate of the team tasked with monitoring sanctions against the Taliban and their associated groups and individuals, welcoming the unanimous adoption of the resolution that is both “timely and necessary.”
“Pakistan remains seriously concerned by the active presence of terrorist groups on Afghan soil,” Islamabad’s permanent representative to UN Asim Iftikhar Ahmad said, while addressing the Council.
“We reiterate our call that Afghan territory must not be used for terrorism against neighboring countries and efforts must be made to prevent external spoilers from exploiting the situation.”
There was no immediate comment from the Afghan side to the statement, which came days after a suicide attack on a mosque in the Pakistani capital of Islamabad killed at least 32 people and injured dozens more. Officials said while the suicide attacker was a Pakistani national, he was trained in Afghanistan ahead of the bombing claimed by Daesh.
Unanimously adopting resolution 2816, the 15-member UNSC decided that all states will continue to implement the sanctions measures imposed both on the Taliban and related “individuals, groups, undertakings and entities” that threaten Afghanistan’s peace, stability and security.
It further renewed the mandate of the monitoring team charged with assisting the Afghanistan Sanctions Committee, which was first established in resolution 2011, for a period of 12 months from the date of its expiration this month. Among other tasks, the Council directed the monitoring team to gather information on instances of non-compliance with sanctions, keep the Committee informed of such instances and to provide recommendations on actions to respond to non-compliance.
“The Council has spoken with a unanimous voice today by highlighting these problems and remains committed to reviewing these sanctions as and when appropriate while taking into account the ground realities in Afghanistan,” Ahmad said.
“It is for the Taliban to decide what path they wish to choose for Afghanistan; whether it is the path to isolation or the path to peace and prosperity as a responsible member of the international community.”
