PIA Privatization Completes with Government-Summit Agreement in Islamabad

The privatisation of Pakistan International Airlines (PIA) was formally completed on Monday with the signing of transaction documents between the federal government and a consortium led by Arif Habib Corporation Limited. Prime Minister Shehbaz Sharif and Chief of Defence Forces and Army Staff Field Marshal Syed Asim Munir attended the signing ceremony in Islamabad, which also witnessed senior federal ministers and top officials.

The Arif Habib-led consortium emerged as the successful bidder in December last year after offering Rs135 billion for a 75% stake in the national flag carrier. Addressing the ceremony, Prime Minister Shehbaz congratulated the nation on the completion of the privatisation process, calling it a major milestone for Pakistan’s aviation sector. He said the process, which began last month, had now reached its conclusion.

“I congratulate the entire nation from the bottom of my heart on the completion of PIA’s privatisation,” he said. “I personally know Arif Habib and am confident in his team’s ability to revive the airline.”

Recalling PIA’s peak performance in the 1960s, Shehbaz believed the new management would restore the airline to its former stature. He emphasized that passenger comfort, safety, and dignity would be top priorities under the new ownership.

The prime minister also congratulated Field Marshal Asim Munir and members of the federal cabinet on the completion of the transaction. Under the agreement, key documents including the shareholders’ agreement and share purchase and subscription agreement were signed by representatives from both sides. Defense Secretary Lt Gen (retd) Muhammad Ali and Arif Habib exchanged the documents on behalf of the government and consortium.

Signatories also included the Secretary Privatisation Commission Usman Bajwa, CEO PIA Holding Company Asad Rasool, Director Fatima Fertilizer Fazal Ahmed, CEO Lake City Gohar Ejaz, Farhana Feroze from The City School, and PIACL CEO Amir Hayat. Officials noted that the completion of the transaction marked a decisive step toward restructuring PIA under private sector management, aiming to improve its operational efficiency.