Pakistan International Airlines (PIA) has officially been transferred to a consortium led by Arif Habib Corporation, marking a significant milestone in the government’s privatization program.
The transaction was finalized today with the signing of official documents by representatives of the Government of Pakistan and the Arif Habib–led consortium, formally completing the handover of the national flag carrier.
Under the new ownership, the consortium will be responsible for reviving PIA’s operations, modernizing its fleet, and implementing a comprehensive turnaround strategy aimed at restoring profitability and enhancing competitiveness in both domestic and international markets.
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The new management plans to expand PIA’s fleet to 38 aircraft, up from the current 18, and to recruit skilled human resources to strengthen operational capacity. As part of the agreement, the consortium is barred from laying off employees for one year. During this period, existing staff will be evaluated based on performance and retained accordingly.
The privatization follows the federal government’s decision last month to sell a 75 percent stake in PIA for Rs. 135 billion, a move linked to commitments made to the International Monetary Fund (IMF).
The new ownership structure includes:
- Arif Habib Corporation and Fatima Fertilizer Limited with a combined 25 percent stake
- Fauji Fertilizer Company Limited holding 25 percent
- The remaining 25 percent jointly owned by AKD Group, City Schools, and Lake City Holdings
The handover is being viewed as a critical step toward restructuring Pakistan’s aviation sector and improving the long-term sustainability of the national airline.
