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Privatization Commission Approves Criteria for PIA Privatization, Sets Deadline for Bids
Major step towards privatization! Privatization Commission approves eligibility criteria for PIA sale, sets May 3 deadline for bids
ND
by News Desk
2024-04-03
Privatization Commission Approves Criteria for PIA Privatization, Sets Deadline for Bids

The Privatization Commission Board in Islamabad has taken a significant step towards the privatization of the national airline, Pakistan International Airlines (PIA), by approving the eligibility criteria for potential buyers.

A pre-qualification committee has been formed following the approval of the criteria. This committee will be responsible for determining the qualification criteria for bidders interested in acquiring PIA.

According to the approved criteria, prospective bidders for the PIA auction must demonstrate a business value of at least Rs 30 billion, while bidding consortia must exhibit a total annual revenue of Rs 200 billion.

It is important to note that, under the Civil Aviation Act, foreign airlines are restricted from acquiring a majority stake in a Pakistani airline. Foreign investors are required to collaborate with local investors in the bidding process.

Currently, the government holds a 96 per cent stake in PIA, and bids are being invited for the auction of a 51 per cent stake in the airline.

The deadline for the submission of qualification statements from interested bidders has been set for May 3. The government aims to complete the sale of PIA by June this year.

This move marks a significant milestone in the government's efforts to privatize PIA and reshape the aviation sector in Pakistan.
Tagged:

Pakistan

Aviation

PIA

Privatization

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