Now preparations for privatization of airport and power sector in Pakistan

By Samira Vishwas On Dec 24, 2025

Islamabad, 24 December 2025: Pakistan economic crisis Pakistan, which is facing economic crisis, has completed the process of privatization of its national airline ‘Pakistan International Airlines’ (PIA). Arif Habib Consortium has bought PIA by making the highest bid of 135 billion Pakistani rupees (about Rs 4317 crore). After the sale of PIA, now the Government of Pakistan is gearing up to sell other government properties also.

Arif Habib Group, the bidder for PIA, is a group of four companies, which ranges from fertilizer to education sector. Privatization consultant Muhammad Ali said that the government was expecting a bid of around Rs 120 billion, but it got a better price than that. PIA will get Rs 125 billion directly from this deal, which will prove beneficial for bringing the organization out of debt and for the future.

· New York and Paris hotels excluded from sale

The government has clarified that PIA’s expensive hotels in New York and Paris are not included in its privatization. These properties will still remain in the hands of the government. Currently, PIA has 18 aircraft in operation, and the private group will now start the process of finding strategic partners for it.

Now turn to airport and energy sector

Privatization advisor Muhammad Ali, while talking about the future plans of the government, said that Lahore, Islamabad and Karachi airports will also soon be handed over to private hands through open auction. Furthermore, he had emphatically said that unless the energy sector is privatized, major improvement in Pakistan’s economy is not possible.

The Government of Pakistan hopes that positive results of this privatization will be seen by 2026. Till now, the losses of the institutions which had to be borne by the government, will now be earned by the government through taxes after privatization. For the last several years, efforts have been going on to sell the airlines, which have ultimately been successful.

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