Aviation Minister Khawaja Saad Rafique issued a warning on Friday regarding the potentially dire financial future of Pakistan International Airlines (PIA). He said that without immediate correction, the airline could suffer staggering losses of Rs. 259 billion by 2030. Minister Rafique stressed the urgency of implementing essential measures, including transferring administrative control to the private sector.
His concerns were voiced during his address on the Senate floor, where he presented “The Pakistan International Airlines Corporation (Conversion) (Amendment) Bill, 2023.”
The minister emphasized the critical need for foreign direct investment (FDI) and granting administrative control to private entities to ensure PIA’s sustainability, as the airline grapples with massive debt of Rs. 742 billion.
However, the proposal faced strong opposition from senators during the proceedings. Consequently, the senate chairman referred the matter to the relevant standing committee for further evaluation, recognizing the importance of FDI and private sector involvement in transforming PIA into a profitable entity.
During the deliberations, PTI lawmakers raised concerns about the quorum, leading to a fifteen-minute bell ringing to satisfy the attendance requirement. Once the quorum was restored, the House proceedings resumed.
The bill proposes an amendment to Section 3, stipulating that the company’s shareholders would be deemed to own and hold the same number of fully paid shares, subject to the rights and privileges they already possessed. Additionally, the federal government could, through an official gazette notification, issue fresh shares or cancel existing ones as deemed necessary during the validity period.
The fate of PIA now lies in the hands of the standing committee, which will closely scrutinize the bill and its proposed amendments.
Source: Pro Pakistani
