• Contact us
  • Advertising Policy
  • Cookie Policy
  • Disclaimer
  • Privacy Policy
  • Terms of Use
Sunday, May 11, 2025
27 °c
Agartala
enewstime
  • Home
  • News
    • Northeast
    • National
    • International
    • Tripura News
  • Sports
    Tennis: China's Wang/Zheng suffer narrow defeat in first round of Italian Open

    Tennis: China's Wang/Zheng suffer narrow defeat in first round of Italian Open

    Kynan best Indian as trap shooters fall short of finals in individual events in Nicosia

    Kynan best Indian as trap shooters fall short of finals in individual events in Nicosia

    Premier League: Relegated Saints dent City’s top-five hopes with dogged draw

    Premier League: Relegated Saints dent City’s top-five hopes with dogged draw

    Italian Open: Berrettini, Ruud set third-round clash in Rome; Giron stuns Fritz

    Italian Open: Berrettini, Ruud set third-round clash in Rome; Giron stuns Fritz

    Premier League:  Everton stun Fulham with second-half comeback to end hosts' European push

    Premier League: Everton stun Fulham with second-half comeback to end hosts' European push

    Football: Bayern Munich close to signing Wirtz from Leverkusen

    Football: Bayern Munich close to signing Wirtz from Leverkusen

    KIYG 2025: Lifters Harsabardhan Sahu, Asmita Dhone set national youth records; Maharashtra bag two golds to extend lead (round-up)

    KIYG 2025: Lifters Harsabardhan Sahu, Asmita Dhone set national youth records; Maharashtra bag two golds to extend lead (round-up)

    'Test cricket needs Virat': Brian Lara urges Kohli to continue playing longest format

    'Test cricket needs Virat': Brian Lara urges Kohli to continue playing longest format

    Golf: Diksha and Pranavi Tied-32nd in Korea Championship

    Golf: Diksha and Pranavi Tied-32nd in Korea Championship

  • Business
  • Entertainment
  • Health
  • Features
  • TendersNew
No Result
View All Result
  • Home
  • News
    • Northeast
    • National
    • International
    • Tripura News
  • Sports
    Tennis: China's Wang/Zheng suffer narrow defeat in first round of Italian Open

    Tennis: China's Wang/Zheng suffer narrow defeat in first round of Italian Open

    Kynan best Indian as trap shooters fall short of finals in individual events in Nicosia

    Kynan best Indian as trap shooters fall short of finals in individual events in Nicosia

    Premier League: Relegated Saints dent City’s top-five hopes with dogged draw

    Premier League: Relegated Saints dent City’s top-five hopes with dogged draw

    Italian Open: Berrettini, Ruud set third-round clash in Rome; Giron stuns Fritz

    Italian Open: Berrettini, Ruud set third-round clash in Rome; Giron stuns Fritz

    Premier League:  Everton stun Fulham with second-half comeback to end hosts' European push

    Premier League: Everton stun Fulham with second-half comeback to end hosts' European push

    Football: Bayern Munich close to signing Wirtz from Leverkusen

    Football: Bayern Munich close to signing Wirtz from Leverkusen

    KIYG 2025: Lifters Harsabardhan Sahu, Asmita Dhone set national youth records; Maharashtra bag two golds to extend lead (round-up)

    KIYG 2025: Lifters Harsabardhan Sahu, Asmita Dhone set national youth records; Maharashtra bag two golds to extend lead (round-up)

    'Test cricket needs Virat': Brian Lara urges Kohli to continue playing longest format

    'Test cricket needs Virat': Brian Lara urges Kohli to continue playing longest format

    Golf: Diksha and Pranavi Tied-32nd in Korea Championship

    Golf: Diksha and Pranavi Tied-32nd in Korea Championship

  • Business
  • Entertainment
  • Health
  • Features
  • TendersNew
No Result
View All Result
enewstime
  • Home
  • News
  • Sports
  • Business
  • Entertainment
  • Health
  • Features
  • Tenders
Home International

Pakistan PIA’s financial struggles reach breaking point, sparks privatization move

ENEWSTIME Desk by ENEWSTIME Desk
September 17, 2023
in International
30
VIEWS
Share on FacebookShare on Twitter

Pakistan’s flagship airline has become a massive financial liability for the government for years, as it slips further more into crisis every year, forcing a bailout injection of billions of Pakistani rupees to keep it running. However, the government has now decided to let go of the airline and has called for a privatisation plan. 

ADVERTISEMENT

Pakistan International Airlines (PIA) has had its fresh episode of financial crisis as it failed to pay the Pakistan State Oil (PSO) for fuel supply, causing flight delays, disruption in flight schedule and cancellation of flights, causing serious disturbance for its customers and passengers.  
 
As per sources in PIA, at least five flights had to be cancelled due to lack of available aircraft. Among these flights were domestic flights flying to and from major cities of the country. There were also delays of about 2 hours witnessed in other domestic flight operations.  
 
The reason behind this was shortage funds with PIA to pay to PSO for fuel. Pakistan’s Federal Ministry for Finance has refused to bare the losses incurred by its flagship airline any further, taking a decision to privatize PIA, seeking a privatization plan both from the Privatization Division and the airline’s administration. 
 
“PIA, which is already faced with a cash crunch and mounting losses, if faced with over Rs 420 million per day due to aircraft grounding. Governments have been bailing it out every year for a very long time. Now, it seems almost impossible,” said economist Irshad Ansaari. 
 
However, PIA spokesperson says that some financial assistance has come its way, allowing it to push its engines roar back to life. 
 
“The on-time departure ratio is expected to 72 per cent now,” said PIA spokesperson. 
 
Another source in PIA said that flight operations have started to gradually return to normal as a total of 72 flights (18 domestic and 54 international flights) were scheduled to depart from airports across Pakistan on Sunday. 
 
In the meanwhile, Shamshad Akhtar, the interim-Finance Minister has revealed that the national flag carrier was incurring confounding losses of at least Rs 12 billion every month. 
 
She said that PIA has several times opted to taking loans of Rs 260 billion from commercial banks, which were guaranteed by the government, in order to stay afloat. 
 
An official of the Federal Board of Revenue (FBR) revealed that PIA owes about Rs 1.25 billion in taxes, while it pays about Rs 1 billion per month to the civil aviation authority. 
 
“PIA’s monthly expenses are about Rs 34 billion, while its monthly income stands at Rs 22 billion. This leaves it with an unsound deficit, that keeps piling with every passing month,” said economist Talib Fareedi. 
 
“The overall deficit of PIA, as it stands currently comes up to about Rs.740 billion, a staggering figure which has prompted the finance ministry for an immediate privatization plan”, he added. 
 
Pakistan government’s Cabinet Committee on Privatization (CCOP) has already given approval for the privatization of PIA. 
 
The government has directed the newly appointed privatization minister Fawaz Hasan Fawad to accelerate the process of privatizing PIA.  
 
“The proposed plan aims to swiftly implement the privatization of the state-owned entity, due to the fact that the airline debt size is five times greater than the value of its assets”, said a source in the Finance Minister of Pakistan. 

ADVERTISEMENT

Related Posts

Delhi airport issues fresh passenger advisory amid India-Pak tensions
International

Delhi airport issues fresh passenger advisory amid India-Pak tensions

May 11, 2025
Pakistan Defence Minister ridiculed at home for calling madrassa students as 'second line of defence'
International

Pakistan Defence Minister ridiculed at home for calling madrassa students as 'second line of defence'

May 11, 2025
Guterres calls India, Pakistan ceasefire agreement 'positive step' towards lasting peace (Ld)
International

Guterres calls India, Pakistan ceasefire agreement 'positive step' towards lasting peace (Ld)

May 11, 2025
Pak PM Shehbaz Sharif addresses nation after ceasefire agreement amid violation of deal across LoC, IB
International

Pak PM Shehbaz Sharif addresses nation after ceasefire agreement amid violation of deal across LoC, IB

May 11, 2025
'War is not India's choice': NSA Doval speaks to Chinese Foreign Minister Wang Yi amid India-Pak tensions
International

'War is not India's choice': NSA Doval speaks to Chinese Foreign Minister Wang Yi amid India-Pak tensions

May 11, 2025
Baseless, unfounded: Kabul rejects Pak claims of Indian missiles striking Afghanistan
International

Baseless, unfounded: Kabul rejects Pak claims of Indian missiles striking Afghanistan

May 11, 2025
ADVERTISEMENT
ADVERTISEMENT
D-2050 D-2050 D-2050
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT

About us

Enewstime.in is run by an individual – a Journalist by profession of Tripura with the active help of several journos including senior journalists of the State. On top of that, Enewstime.in being a subscriber of IANS news agency, we have plenty of multi-choice topics to offer to our esteemed readers. Enewstime.in is a venture reach global audience from a tiny State Tripura.

Latest News

Delhi airport issues fresh passenger advisory amid India-Pak tensions

IAF Sergeant, BSF Sub-Inspector martyred in cross-border firing by Pakistan in Jammu

Tennis: China's Wang/Zheng suffer narrow defeat in first round of Italian Open

Miley Cyrus gets together with estranged father Billy Ray

Reliance Power's revenue dips 1 pc in Q4 FY25, total income falls 5.83 pc

DG BSF, personnel pay tribute to martyred soldier killed in Pak cross-border firing in Jammu

Contact us

ssss

  • Contact us
  • Advertising Policy
  • Cookie Policy
  • Disclaimer
  • Privacy Policy
  • Terms of Use

© 2025 Designed & Developed with ❤️ by Provibe Media LLP

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
No Result
View All Result
  • Home
  • News
    • Northeast
    • National
    • International
    • Tripura News
  • Sports
  • Business
  • Entertainment
  • Health
  • Features
  • Tenders

© 2025 Designed & Developed with ❤️ by Provibe Media LLP