- By Shubham Bajpai
- Thu, 04 Dec 2025 11:19 AM (IST)
- Source:JND
Pakistan has moved ahead with the privatisation of the state-owned Pakistan International Airlines (PIA) as it grapples with financial pressure. On Wednesday, Pakistan's Prime Minister Shehbaz Sharif announced that the bidding for the PIA will be held on December 25.
The bidding will be broadcast live across all media. So far, four bidders have been shortlisted. Among them is Fauji Fertiliser Company Limited, an entity that is a part of military-controlled Fauji Foundation.
The privatisation of PIA is the biggest disinvestment in two decades. The Pakistani government has described it as a final step to meet a key condition of the IMF bailout of $7 billion, the next tranche of which is worth $1.2 billion and will be released after the IMF Executive Board meeting on December 8.
As the sale of PIA shares between 51% to 100%, including full management control, is a benchmark for the Extended Fund Facility (EFF), and so, its sale by year-end is mandatory for future disbursements.
A report by Reuters quoted Pakistan's Privatisation Minister Muhammad Ali saying, "We're targeting Rs 86 billion in privatisation proceeds this year. For PIA, in the last round of bidding, 15% of the proceeds were going to the government, with the rest staying within the company".
Calling it the first major privatisation in two decades, Pakistani news outlet Dawn reported, "Four bidders have been pre-qualified for the sale: Lucky Cement Consortium, Arif Habib Corporation Consortium, Fauji Fertiliser Company Limited and Air Blue Limited".
Although Field Marshal Asim Munir, considered to be the most powerful person in Pakistan today, does not hold a direct position on the Fauji Foundation's Central Board of Directors (CBDs), he appoints the Quartermaster General (QMG) who is part of the Fauji Foundation CBD.
The power to make appointments and being at helm of the unified defence forces, Munir has an indirect influence over the firm.