The government of Pakistan is moving forward with plans to privatize Pakistan International Airlines (PIA) and aims to secure the International Monetary Fund’s (IMF) approval for tax exemptions to attract potential investors.
Minister for Privatisation Aleem Khan revealed that bidders have requested significant tax relief as part of the privatization process. He assured a parliamentary panel that critical tax exemptions and financial adjustments are underway to make PIA an appealing investment opportunity.
A major challenge is addressing the airline’s negative equity of Rs45 billion. The government plans to resolve this by carving out legacy liabilities, ensuring a financially stable platform for new investors before finalizing the transaction.