The Economic Coordination Committee (ECC) of the Cabinet has directed that emphasis should be given to PIACL’s privatisation instead of restructuring as the national flag carrier is on the active privatisation list, well-informed sources told republic policy.

Ministry of Aviation briefed the ECC on September 6, 2023, that PIACL, the national flag carrier, was owned by the government of Pakistan to the extent of 92 per cent shares. PIA had a glorious past and a series of achievements. Still, from the late nineteen nineties, PIA started to incur losses as it could not compete well with the emerging regional airlines.

PIA’s problems were exacerbated due to the absence of entrepreneurship, rising extraneous influences, internal mismanagement, and its inability to finance fleet expansion. To cope with losses, PIA contracted debt, which has now reached an unmanageable level.